The property acquisition price is $18,000,000, leading to a total acquisition cost of $20,078,124 after financing costs, fees, and reserves. Syndicated cap rate is listed at 9.74%, while third-party appraised value is not disclosed.
Valuation ladder
Acquisition price$18.00M
Offering price$11.31M+-37.2%
Cap rate spread & load
Syndicated cap rate9.74%
Upfront load (all-equity)6.00%equity = offering price
Load net of reserves5.66%
Acquisition Price
$18,000,000
Offering Price
$11,310,634
Appraised Value
—
Upfront Load
—
Load on Equity
—
Load on Offering Price
6%
Acquisition Cap Rate
—
Syndicated Cap Rate
9.74%
Premium / Discount
—
Appraisal / Offering %
47.21%
Less Reserves %
—
Strengths
- Acquisition of newly constructed 2023 built-to-rent asset
- Syndicated cap rate reported at 9.74%
Concerns
- Third-party appraised value is not disclosed in the offering materials
- Total acquisition cost of $20,078,124 represents an 11.5% markup over purchase price