125 unit closed in League City

[Conrad Ellestad]

Investment Info:

Large multi-family (5+ units) buy & hold investment.

Purchase price: $13,125,000
Cash invested: $4,400,000

Banyan Cove Apartments is a 125-unit multifamily community located in League City, TX in
Galveston County, part of the Houston metro area. Built in 1976 and situated on 4.91 acres,
the property is comprised of 14, two-story apartment buildings with a combination of brick
and hardie siding. Banyan Cove offers five floor plans with a unit mix of one-, two-, and
three-bedroom apartments. Common area amenities include laundry facility, a business
center, swimming pool, and lush landscaping.

What made you interested in investing in this type of deal?

The location, rents lowest in top market with job opportunities, low crime, massive population growth and walkable to grocery & restaurants. The building is in great shape as well. This one was easy to get investors onboard.

How did you find this deal and how did you negotiate it?

Off Market through past connections

How did you finance this deal?

Fannie Mae Loan

How did you add value to the deal?

Adding washer dryer in some units, covered parking, upgrades to units upon move outs.

What was the outcome?

Just closed....TBD but expect great results

Lessons learned? Challenges?

Insurance is always a challenge, shop early for insurance especially when dealing with somewhat coastal properties

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Yes