Belvedere
Acquisition Date | October 2013
Disposition Date | December 2014
Year Built | 1999
Class | A
Size | 240,153 square feet
Building Height | 10 Stories
Location | 4055 Valley View Lane, Farmers Branch, TX 75244
IRR | 10%
Actual Multiple | 1.8x
The Opportunity
- Acquire a value add asset with a reduced risk profile
- Acquire an asset that has been undermanaged and leased
- An underperforming asset with 21% vacancy and below market rental rates in one of Dallas’ strongest submarkets
- Acquire an asset at below 50% replacement cost
The Strategy
- Benefit from the recently completed $2 + billion LBJ Freeway expansion enhancing access to the asset
- Implement leasing and marketing programs to enhance occupancy and increase cash flow
- Capitalize from in place rents that are 15% below market upon renewal
- Capital improvements program to renovate restrooms and common areas to increase quality and appeal enabling ownership to increase rental rates
The Result
- Rental rates have achieved proforma
- The submarket continues to demonstrate strong market fundamentals
- Anticipated disposition 2019
