Case Studies

LOCATION: Anderson, South Carolina

PURCHASE: $1,350,000 – December, 2019

SALE: $2,400,000 – August, 2022

EQUITY MULTIPLE: 2.49X

AZALEA APARTMENTS

Azalea Apartments ("Azalea") stands as a prime example of the power of PPV and marks our first full-cycle syndication. This 39-unit apartment complex, located in Anderson, South Carolina, was acquired off-market in December 2019. Despite being 100% occupied at the time of acquisition, the property had not kept up with rising market rents and had suffered from a lack of active management and improvements since its construction.

Following the acquisition, we restructured the property management, implemented new market-driven rents, and rolled out a comprehensive capital improvement plan. The improvements included a full exterior refresh to boost curb appeal, upgrading about 40% of the units with new fixtures, flooring, paint, and appliances, as well as modernizing common areas with new lighting and flooring. Additionally, we addressed deferred maintenance issues, such as upgrading the water heating system, renovating the common areas, and improving the property’s systems.

In approximately 30 months, we saw the property's income grow by more than 20%. We also successfully introduced a utilities reimbursement program, allowing tenants to absorb utility costs in line with market norms. After a competitive sales process, the property sold for $2,400,000—equating to over $61,000 per unit—representing a nearly 78% increase in value from the original acquisition price.

A few months later, all investors used a 1031-exchange to roll their investment into Sunrise Terrace and continue building their investment with PPV.