REDMOND 12 PLEX
A 3 building, 12-unit apartment complex located on 17,110 sf of Land, zoned TSQ. Built in 1994, the complex served both the community and the developers for 30 years. And similar to many generational investments, with the factor of time, ownership’s motivations and objectives change along with the real estate proposition.
Real Estate propositions many times move from a typical income scenario to the unrealized values of the underlying land, as is the case with the 12 plex, the explosive growth of Redmond and the Sound Transit expansion to Redmond altered the underlying value of the land, exceeding any near-term income values and future appreciation.
Taking advantage on an opportunity, a 100,000-sf parcel assemblage, we were able to sell for significantly greater values than the income would suggest; capitalizing on a price and timing set, where we could exchange into a new asset, bettering our returns, appreciation, and long-term investment objectives.
After 30 years, all gains were reinvested, tax free into a new real estate investment (1031 exchange)
Appreciation can now be controlled through rental increases.
Property cash flow improves 3x’s.
The depreciation schedule starts over again.
Ownership and decision making is reassessed and established.
For more information on syndication and investing in real estate in the Pacific Northwest:
AGM REAL ESTATE