Mercer Tower

A 25-unit apartment building located on the north end of Mercer Island. Every unit and common area is slated for a $1.5 million renovation. Rents are targeted to increase from an average of $2.00/sf to over $3.00 within 24 months. In the sixth year, the building value will have increased from $8 to $12 million, allowing for a refinance and 50% of the equity returned. Cash-on-cash returns move from an average of 9% to 9.6% after the refinance.