We know that choosing the right property to invest in and picking a syndicator to work with can be a hard decision. At REEP, our properties are managed by our in-house property management team, REEP Residential. This allows us a greater level of control and increases our ability to create high-performing properties. To show you exactly how this process works, this post provides a case study of one of our recent acquisitions, Smoketree Townhomes.
Style: Garden Style
Acquired Date: June 2022
Address: 5110 Azalea Parkway, Houston, TX 77066
Property URL: 51TENTownhomes.com
51TEN Townhomes, formerly known as Smoketree Townhomes, is a garden-style multifamily community in the Willowbrook/Champions submarket of Houston. The community is comprised entirely of one-bedroom, two-story, loft-style townhomes. The spacious units feature vaulted ceilings, decorative wood beams in the living rooms, fenced-in private patios, and all include Washer and Dryer Connections.
All of the units are available to upgrade, with many still featuring the classic original cabinetry, hardware, fixtures, and lighting. The business plan includes updating the units with new lights, fixtures, flooring, appliances, counters, cabinets, and paint. REEP will also extensively update the exterior with fresh paint, landscaping, new fencing, and a new sign package.
– REEP CASE STUDY –
Smoketree Townhomes was purchased in June of 2022. On day 1, the property was rebranded to 51Ten Townhomes. By September, our REEP Residential team had already worked their magic – dramatically transforming the model and continuing that process to additional units.
MODEL IMAGES – BEFORE AND AFTER REMODEL
ORIGINAL IMAGES AT TAKEOVER
Common area amenities
- Sparkling Pool with Waterfall
- Lounging pool side deck
- Fitness Center
- Laundry Facilities
- Gated, Controlled Access
- Pet Park
- In-Unit Washer & Dryer Connections
- High Speed Internet Access
- Ceiling Fans
- Vaulted Ceiling
- Walk-In Closets
- Private Patio and Backyards
- Loft Style
- Stainless Appliances*
- Vinyl Wood Plank Style Floors*
The strategy for this asset is to:
The property will undergo an extensive rehab to include modernizing and updating 150 units, along with adding private yards for a monthly premium
The exterior will receive new paint and landscaping
The property was rebranded and received a full new sign package, updated branding, and new color pallet.
- Repurpose unutilized green space into new amenities
Implement vertically integrated management to control expenses
- Add additional improvements and amenities to common areas and unit interiors
- Add new income through VIP Parking, amenity fees, package lockers, and increased RUBs and Pet Fees
- Sell or refinance within 3-5 years