In 2009, we began making passive investments in multifamily real estate throughout the Southeast. We established a long-term horizon by securing fixed rate agency loans for placement on 2,000+ units, and would later become a Freddie Mac Select Sponsor.
Restructuring - Sole Owners
In 2015, we restructured the company in order to make direct investments as a sole owner-operator. We made our first acquisition as a sole GP with an acquisition of a $74M portfolio consisting of three properties in Greensboro/High Point, NC.
We expanded our focus from workforce/low B-class multifamily to also include properties with significant value-add potential. We executed major asset repositionings with average capital investments of $15,000-$25,000 per unit.
During this time, our portfolio reached 7,500 units and was valued at over $1.2B. While largely focused on multifamily value-add opportunities, we increasingly began sourcing land for developments.
As Cap-Rates dropped and our portfolio aged, we facilitated the sale of 15 stabilized multifamily properties totaling close to $1B. Hudson investors saw average IRRs and Equity Multiples of 26.0% and 5.5x, respectively.
After the portfolio sale, we began focusing on re-deploying capital. Our current portfolio includes a wider scope of properties than before, with Active Adult communities, industrial developments as well as classic multifamily.