HUNTINGTON, N.Y., Jan. 30, 2014 /PRNewswire/ -- Real estate investment company URS Capital Partners (http://www.urscapitalpartners.com) has recently completed the sale of two multifamily assets in Greater Cincinnati, Ohio area. Both assets were purchased by investor groups sponsored by URS Capital Partners.
The first sale was Westshore Apartments, a 37-unit Class B apartment building located across the river from Cincinnati in Covington, KY with unparalleled views of downtown Cincinnati. The property formerly known as Harbor House Apartments was acquired out of an estate in 2011 and underwent extensive renovations and a robust repositioning plan overseen by URS Capital Partners.
"Due to the property's positive attributes including its amazing views and proximity to downtown Cincinnati we saw the opportunity to buy the property well, implement a strategic upgrade plan and rebrand the property to greatly improve cash flow and value," say Christopher and Lisa Urso, Partners of URS Capital Partners.
URS executed its plan with precision and was able to upgrade the tenant profile and quickly increase average rents by 10-15% throughout the property. The asset was sold to local investor at 95% occupancy and a 7.5% cap rate. The project generated an unleveraged 21% IRR with a 2 year hold period.
The second sale was Incline Apartments, a 40-unit Class C class apartment complex located in the Incline District of Cincinnati. The property was purchased out of foreclosure at less than 20% occupancy. URS Capital Partners along with their local property management team Cincy Area Properties led the renovation and turn around of the affordable complex. We renovated the property and stabilized the operations and occupancy within 12 months of ownership. The property generated significant cash flow during its four year hold period and generated an unleveraged 16% IRR inclusive of the sale.
"We saw the opportunity to buy the property at a significant discount, bring the down units on line quickly and greatly improve cash flow. As a result of the timely execution of our strategic plan, we allowed our investors to enjoy healthy unlevered cash on cash returns during uncertain economic times," said Christopher Urso.
URS Capital has built its portfolio by working with private investors to acquire distressed or value-add multifamily assets. Based out of New York, the company is focused on acquiring midsize apartment communities throughout the Midwest, Mid-Atlantic and Southeast.
"These properties are a true example of the type of deals we target at URS, both properties were under managed and in need of repositioning. We executed our business plan resulting in strong returns for our investor groups," said URS Capital Partner Janet Silverman.
The company's unique asset management style involves thorough pre-closing due diligence and working very closely with their local property management partners post-closing to ensure implementation of their strategic plans and the continued success of their communities. URS Capital Partners currently sponsors and manages multifamily assets in excess of 500 units and $20,000,000 of asset value.
The company is expanding its capital sources and plans to acquire additional multifamily assets in 2014, focusing primarily on B and C assets with a value-add component in the $5 million to $15 million range.
URS Capital Partners
Read more news from URS Capital Partners.
SOURCE URS Capital Partners