A 232-unit garden-style development in El Campo, TX
Creekside Ranch Investment Overview
Welcome to the exclusive overview of Creekside Ranch. In this brief video, we present the remarkable features and investment opportunity that awaits you at Creekside Ranch. Tailored to address your unique inquiries as an investor, our aim is to provide you with a crystal-clear understanding of the incredible potential that lies ahead. As you embark on this investment journey with us, this presentation holds a pivotal role in our new investor onboarding process. We encourage you to take the next step by signing up for one of our small group webinars with our investor relations team and take the first stride towards making Creekside Ranch an invaluable addition to your investment portfolio.
* we respect your privacy - will not be sold, rent, or leased *
HIGHLIGHTS
75K Min.
Investment
21.7%
LP Leverage IRR
1.6X
Equity Multiple
3 Year
Hold
ABOUT CREEKSIDE RANCH:
Creekside Ranch is a 232 unit development with an average rent of $1,433 and an average unit size of 968 SF. We've partnered with renowned architect Ted Trout to design and develop a project that will transform the way people work, live, play, and congregate for decades to come.
The project includes a range of unique amenities, such as a lazy river pool, crawfish boiling station, top-of-the-line fitness center, business center, dog park, movie room, and hunting simulator.
MARKET OPPORTUNITY
El Campo is an emerging market that has seen steady growth in population over the past few years. However, there has been a lack of multifamily permits since the early 1980s, resulting in a depleting inventory of multifamily products. This presents a prime opportunity for new development, with Creekside Ranch being a significant part of the solution.
Creekside Ranch is a 506(c) offering for accredited investors only, with a minimum investment of $75,000. This is Phase 1 of a two-phase development, and we already own the land for Phase 2. Upon successful lease-up and stabilization of Phase 1, we plan to promptly begin Phase 2, providing investors the opportunity to roll their investment from Phase 1 into Phase 2 for a compound return of a likely 3.2x equity multiple and 37% average annual return over a 6 year period.
The equity waterfall is designed to favor investors, with an initial 10% preferred return. The profit-sharing structure is as follows:
1. 90% to investors and 10% to TriArc, up to a 14% IRR.
2. 80% to investors and 20% to TriArc, between 14% and 18% IRR.
3. 60% to investors and 40% to TriArc, beyond an 18% IRR.
The project is projected to exit at a 5 cap in 48 months. Overall, the project has been conservatively underwritten to ensure that even in adverse market conditions, investors remain well-positioned for returns.
The equity waterfall is designed to favor investors, with an initial 10% preferred return. The profit-sharing structure is as follows:
1. 90% to investors and 10% to TriArc, up to a 14% IRR.
2. 80% to investors and 20% to TriArc, between 14% and 18% IRR.
3. 60% to investors and 40% to TriArc, beyond an 18% IRR.
The project is projected to exit at a 5 cap in 36 months. The sensitivity table shows various scenarios, demonstrating that even in the worst-case scenario with a 5.75 cap rate at 33 months, the equity multiple remains at 1.4 due to an extra year of distributions. Overall, the project has been conservatively underwritten to ensure that even in adverse market conditions, investors remain well-positioned for returns.
THIRD PARTY AND INDEPENDENT MARKET RESEARCH
We've conducted traditional market surveys and job market reviews through Integra Realty Resources to identify the demand and potential for this development. We also conducted independent surveys of 827 local residents over a 30 day period. Our surveys show that there is a pent-up demand for new, non-subsidized multifamily housing in El Campo, with over 200 residents pre-qualifying for Creekside Ranch based on income criteria alone. With projected job growth within El Campo and the surrounding areas, we anticipate a stabilized occupancy level of 93% by late 2024.
827 RESPONSES
(5.2% of
Population)
755 INTERESTED
(4.7% of
Population)
238 PRE-QUALIFIED
(32% of Interested)
ABOUT TRIARC
Founded in 2013, TriArc Real Estate Partners is a full-service, vertically integrated investment management firm focused on the development acquisition, management, and renovation of multifamily properties to produce strong returns while building stronger communities. The principals of TriArc have owned and/or operated more than 47,000 apartment units, totaling an estimated $1.9 billion in commercial real estate assets over an average career of 23 years. TriArc has completed over $375M in transactions since inception and currently has a portfolio of 1,650 units totaling $240M. TriArc has produced returns of 2.63 equity multiple and 23.5% IRR over 5 exits.
TriArc’s investment strategy utilizes our inhouse capabilities to unlock value in properties that we perceive to be underperforming and undervalued. Through proactive management, redevelopment, and specific submarket selection, we aim to generate attractive risk-adjusted returns. TriArc has made a conscious effort to build structure into our execution, reporting, and client communications, while still retaining the agility and mindset of an entrepreneur.
$240M
Assets Under
Management
$2.1B
Assets Managed Historically
1650
Units Under
Management
47k
Units Managed
115
Years Combined Experience
TRIARC LEADERSHIP
Joseph Bramante,CCIM
CEO
12 years as General Partner
Owned 14 Multifamily properties, $265M gross
MBA Rice University, BS Civil Engineering Louisiana Tech University
23.5% IRR, 2.63 equity multiple on 5 exits
Founder of “Passive Investing Academy” to Protect Passive Investors
Author “The Passive Investor’s Playbook: A Guide to Winning at Multifamily” releasing Fall 2023
Jared Spain
VP Acquisitions
15 Years CRE
Transacted 5,000+ Units
Former VP at S2 Capital
Extensive Houston experience
B.A. Finance from U of Texas
Carrie Breneman
VP Asset Mgmt
35 Years Property Mgmt
Award-winning acquisition specialist and PM executive
Former Regional VP for GFI Property Management overseeing 31 communities and over 10,000 units
Recipient of "Presidents Award" for 3 consecutive years
Robert Mitchell
VP Construction
20 Years Multifamily Renovation Experience
GC for over $50M in value-add projects of up to $37k/dr
10 years of property Mgmt experience w/ Lincoln Property Co
Recipient of coveted Gold Medallion award
Deborah Newsome
VP Operations
33 Years Property Mgmt
Experienced in all facets of the industry and managed portfolios of 5,000+ units
Successfully kicked-off and leased up 9 New Construction Class A developments
