URL:
Location:
Dallas, TX
Niche:
Multi-Family
Prior::
CrowdStreet

Overall:

Communication/Reporting:

Track Record/Performance:

Sponsor Fees:

Nicholas Residential is a fully integrated Multifamily Investment Firm focused exclusively on:

  • Class "B" Multifamily Investments
  • Late 70's to Mid 1990's Vintage
  • 150 Units +
  • $8m to $35m total capitalization (to stay below the institutional acquisition threshold and take advantage of an unsophisticated, segmented market)
  • $3,000 to $5,000 per unit in value-add capital expenditures
  • Opportunities in Dallas, Houston and San Antonio
  • Properties with a Management enhancement opportunity (through scale and improved operating efficiency)

The company employs low leverage (>/= 75% LTV) and locks in long term (10 to 12 year) fully assumable, non-recourse financing through Fannie Mae, Freddie Mac and HUD. The firm focuses on fully-occupied, strong cash-flowing opportunities with little deferred maintenance in order to maximize investment returns. Although investment underwriting assumes a 5-year hold period, deals are overcapitalized at closing to avoid capital calls and sustain the projects cash-flow through a potential downturn in the market.

Nicholas Residential uses conservative underwriting in order to achieve average proforma returns of 17.0% to 18.5% IRR's and 2.0x multiples net of fees to the Limited Partnership over an anticipated 5-year investment horizon.

Due Diligence & Discussions

Share your experience. Rate and comment!

Mark Robertson

Jan 28, 2017

Formerly with Westmount this sponsor is realitively new, but has experience with other firms.  Invested with them for less than 6 months, so can not speak to their track record.  They are prompt to reply to email questions though.

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Nicholas Residential Nicholas Residential
Rated 3.5/5 based on 7 customer reviews

Nicholas Residential is a fully integrated Multifamily Investment Firm focused exclusively on:

The company employs low leverage (>/= 75% LTV) and locks in long term (10 to 12 year) fully assumable, non-recourse financing through Fannie Mae, Freddie Mac and HUD. The firm focuses on fully-occupied, strong cash-flowing opportunities with little deferred maintenance in order to maximize investment returns. Although investment underwriting assumes a 5-year hold period, deals are overcapitalized at closing to avoid capital calls and sustain the projects cash-flow through a potential downturn in the market.

Nicholas Residential uses conservative underwriting in order to achieve average proforma returns of 17.0% to 18.5% IRR's and 2.0x multiples net of fees to the Limited Partnership over an anticipated 5-year investment horizon.