Multifamily renovation · Refinanced
Heron Lakes
We renovated all 216 units and kept the property after offers as high as $44.3M.
- Purchase price, May 2019
- Santander refinance, September 2022
- Highest offer received (letters of intent, not a sale)
- Units, all renovated
Where we found the value
- Operations
We renovated all 216 units over two and a half years and raised rents.
- Deal structure
Offers came in as high as $44.3M. We kept it and refinanced with Santander at $26.5M, returning capital.
01What we saw
A steady community, under-earning.
Heron Lakes was stable but underperforming, with rents below market and capital needs throughout.
02What we thought
Smart improvements, then a choice.
Renovate every unit to the standard the market would pay for, then decide what a stronger property should become: a sale or a long hold.
03What we did
Every unit, in two and a half years.
We renovated all 216 units over two and a half years, raised rents through the new interiors and took the property through lease-up to steady operations.
- 216 of 216
- Units renovated
04What changed
Kept it, and returned capital.
Offers came in as high as $44.3M. We chose a long-term hold instead and in September 2022 refinanced with Santander at $26.5M, replacing bridge debt with permanent financing and returning capital while keeping the property.
- $26.5M
- Permanent loan, Santander
- Bridge → perm
- The business plan, carried through
In photographs
The pool and clubhouse at Heron Lakes
A renovated living room at Heron Lakes
A renovated kitchen at Heron Lakes
A renovated apartment at Heron Lakes
Purchase and refinance figures are property-level amounts. Letters of intent are offers, not a sale or a valuation.