The best Deals Usually Start with a Relationship

Plano, TX

48% IRR

This 18,200sf industrial flex building was an owner operator who was more focused on the core business than commercial real estate.  After years of building trust, the partnership proposed a short term sale leaseback at market rent.  Big win for all.

Carrollton, TX

31% IRR

This 14,500sf strip center on an oversized lot is shadow anchored by a grocery anchored power center.  Strong fundamentals.  Property management built the relationship with the Trust who owned the property and knew the timing was right to send over an LOI to the landlord.  The partnership presented an all cash off market offer and closed quickly.  Upgrades included the façade, signage, and parking lot while slowly raising rents on renewals. The end cap was converted with a drive thru as well.

Dallas, TX

27% IRR

This 32,000sf warehouse was built in the 90's with extra exterior storage space.  The current owner didn't realize the potential of the extra land because it was classified as unusable land in a drainage ditch.  Rent was below market and the extra land was repurposed for additional rent.

 Allen, TX

37% IRR

This growing business outgrew its 6,000sf space and needed closer to 15,000sf. Instead of signing a new lease with a third party landlord, the tenant wisely chooses a joint venture partnership with equity partners who provide the cash and real estate expertise. The partnership buys the building, the business operator occupies the property as planned, and a monthly payment close to market rent covers the mortgage. The business operator builds the ownership stake instead of just paying rent. 

Frisco, TX

42% IRR

This grocery anchored center had less than 2 years remaining on the anchor's lease and the public REIT landlord didn't want the risk of a non-renewal situation.  A referral partner had a relationship with the tenant as well as back-up tenants which provided the confidence needed to proceed.  Referral partner provided the REIT an option to remove their risk and eliminate one of four hundred assets off the books.  The partnership was in the right spot at the right time to buy at a 7.75 cap and renegotiate the lease with the anchor tenant at higher rents.

Addison, TX

29% IRR

This dilapidated ice rink with a class A location was not the highest and best use.  The broker knew this asset could be turned around but needed an equity capital partner who could take down the property all cash, accept negative cash flow the first year during remodel, and convert to an auto showroom facility that was state of the art and 2.5x the rent. The partnership had been talking to the broker about all types of unique assets and finally this opportunity came out of left field.   

McKinney, TX

26% IRR

 This 6 story office building had extra parking and land.  Agent X realized that there was enough extra land to ground lease the A+ hard corner on the highway for $250,000/year and the existing office tower was priced fairly relative to its age.  The partnership sourced the deal and the broker rolled his commission into a much larger payday 4 years later.