Multifamily stabilization · Refinanced
Henson Creek
Collections from 75% to 92%, then Freddie Mac permanent financing.
- Purchase price, March 2022
- Collections
- Freddie Mac permanent loan
- Distributions began
Where we found the value
- Operations
A detailed screening and renewal program lifted collections from 75% to 92%.
- Deal structure
When the rate cap on the bridge loan cost $754,000 against $75,000 budgeted, we made no capital call and refinanced with $84M of Freddie Mac permanent financing.
01What we saw
Low collections and deferred management.
The buildings were sound. The work needed was in how the property was run.
02What we thought
Tighter screening and renewals, and better management.
A detailed screening and renewal program, and renovations where the rent pays for them.
03What we did
Collections from 75% to 92%.
A detailed screening and renewal program lifted collections from 75% to 92%, and we renovated 200 units for higher rents.
- 75% → 92%
- Collections
Core value in practiceRelentless Execution
04What changed
Refinanced with Freddie Mac. Distributions began in April 2025.
Rate-cap prices tripled in the weeks before we closed in March 2022, and the lender required two years of cover. The cap on the floating-rate bridge loan was budgeted at $75,000 and cost $754,000. We made no capital call: we worked it through with our partner and replaced the loan with $84M of Freddie Mac permanent financing. Distributions began in April 2025.
- $84M
- Freddie Mac permanent loan
- April 2025
- Distributions began
In photographs
The Henson Creek sign and planting
A renovated kitchen at Henson Creek
The fitness room at Henson Creek
A renovated bathroom at Henson Creek
Purchase and loan figures are property-level amounts. A refinance is not an exit.