Investment Overview

Cedar Point of Arlington is a 272-unit, class B community located in Arlington, Texas, which is a bustling suburb in the heart of the Dallas/Fort Worth metroplex and home to AT&T Stadium, Globe Life Field, Texas Live, General Motors and many other economic drivers vital to the outstanding growth seen in the area over the past decade-plus. The property offers easy access to Highway 360 and is situated in a highly visible position along the high-traffic Pioneer Parkway with schools, retail and employment centers all located within a few blocks. Also adjacent to Cedar Point are Bob Cooke Park and East Library and Recreation Center, both of which are outstanding amenities the property can offer at no cost to the owner or the residents. This location also boasts a one-mile median household income exceeding $50,000. The subject property was built in 1977 and consists of 26, two-story buildings which are comprised of brick veneer and hardie board exteriors with pitched composition roofs on concrete slab foundations. Community amenities include a large swimming pool, several onsite laundry facilities, a resident clubhouse and professional business center. The property is in good condition with ownership having completed more than $2.8 million in recent capital improvements (see page 35). This includes all new hardie plank siding, exterior paint, parking lot and mechanical replacement, water conservation and clubhouse/pool renovations. Cedar Point of Arlington offers a new owner the compelling opportunity to acquire a large, well located class B community in the heart of one of the nation’s most dynamic rental and investment markets and enjoy a strong yield from day-one of ownership and realize significant additional income and value creation potential. At our guidance price, a new agency loan can be placed at 75 percent LTV with great positive leverage, which allows for a cash-on-cash return exceeding 9 percent year one. Furthermore, by improving revenue to where it was consistently just earlier this year, yields can be pushed to nearly 12 percent without raising rents.