NoRi, Kansas City
176 unit apartment building in Kansas City, built in 1972
Located north of Downtown Kansas City, near strong employers and good retail.
Tired asset exiting low income housing restrictions.
A submarket in transition with comps that supported property upgrades and rent rate increases.
Renovate the asset with ~$4.5M to upgrade interior units, exteriors and amenities.
Rebrand the asset with a new name, signage, website, etc.
Revamp the management by implementing rent optimizing strategies and replacing underperforming staff.
Acquired for $4.5M in 2013, ~$9.9M all in cost
Sold for $13M in 2018
Realized gross IRR of 22%
Completed renovation within budget
Increased rent 75%
Stabilized occupancy at 95%
Increased NOI 511%
Refinanced out ~ 102% of original equity