Mid Month October 2019

Altus Mid-Month Update- October 2019

Fall is upon us and we are excited about the opportunities we are uncovering as we head into the holiday season. We have several deals in the works, of which many will come to fruition in the coming months. Here is a sneak peak at a few of the properties that are on our immediate horizon. Please feel free to reach out if you would like to put your name on the prospective wait list to be first in line to receive investment info for a specific opportunity.

In the Pipeline:

We are continuously looking for and evaluating new deals for acquisition. If you know of any interesting off-market opportunities (both near and far), we would love to hear from you.

  • We are in contract on a mid-size apartment complex in Huntsville, Alabama. 16 units on the property were recently damage due to fire, which presents us with a below market opportunity to enter Huntsville, which is one of our main target markets. Opportunity to invest in debt in the form of a 2nd DOT with an estimated 24-month term. Closing should occur in early to mid-November.
  • We are in contract on eight medical office condos in San Marcos, Texas (Austin MSA) totaling 12,000 square feet. Due to the size of this purchase, the investment opportunity in this deal will be structured as debt by way of 2nd DOT with an estimated 24-month term. Closing should occur in early November.
  • We are in contract on a 65,900 sq. ft. multi-tenant industrial building in Tulsa, Oklahoma. Recently constructed, it is cash flow positive and has upside with the purchase valuation based off the current 58% occupancy. We have already received substantial interest in leasing out the remaining space. This will be offered as an equity play to investors, with an estimated closing in early January.
  • We are in contract on a 78-unit apartment complex in Sherwood, Arkansas, just down the street from a larger multi-family complex we purchased earlier this year. This property is stabilized with only 1 vacancy and has been owned by the same family for many years. This is an opportunity to receive immediate returns on a long-term hold. We will be offering this to investors as an equity play, with an estimated closing date in late December.
  • We currently have multiple other offers on other properties and will continue to keep you all in the loop as things unfold.

Recently Closed Transactions:

  • WestPark Industrial Complex- Tupelo, Mississippi: The property consists of 310,667 sq. ft. of multi-tenant industrial warehouse space (100% occupied). The property is stabilized, property management is in place, and should start generating returns for investors right away.
  • Skyline Luxury Apartments- Chico, CA: Altus arranged for the purchase of 5.64 acres of land that has all the discretionary and non-discretionary approvals for the construction of 104 luxury apartments in the demand intense area of Chico. Construction is already well underway with the hope that the first four buildings will be completed and ready to lease by just after the new year.
  • Newport Plaza- Oklahoma City, OK: We closed on this 26,000 sq. ft. retail center on July 31st. A full façade renovation is planned to begin in the next month or so, and this will be followed by a full re-tenanting and repositioning of the property.

Other Noteworthy Items:

Rich Fenske is leading up our ACG (Altus Capital Group) private money loans division. Things are starting to pick up steam, so please reach out if you are interested in allocating a portion of your investment portfolio to secured deeds of trust. Here is a snapshot of recent activity:

  • $91,000 1st DOT for Santa Rosa medical condo – 40% LTV Purchase 24-month term 8.5% (closed)
  • $2,200,000 1st DOT for Pointe Reyes ranch – 33% LTV refinance – 24-month term 9% (pending)
  • $2,750,000 1st DOT for Texas Urgent Care – 50% LTV refinance – 24-month term 9% (pending)

 

If you have interest in discussing any of these opportunities in greater detail, please reply to this email or call our office at (707) 932-5887.  We will gladly add you to our distribution list and/or schedule an appointment to discuss your investing needs.

Best Regards,

 

The Altus Investment Team