Four Mile Capital, a privately held real estate investment firm based in Louisville, CO, has acquired their 20th property overall and now owns real estate in 10 states across the country.
LOUISVILLE, Colo., Dec. 3, 2024 /PRNewswire-PRWeb/ -- Four Mile Capital ("FMC", the "Sponsor") has expanded its portfolio with the purchase of a ~200-unit, class-A multifamily community located in one of Central Ohio's most dynamic markets. The Property is comprised entirely of single-story ranch-style homes, all with 2-car attached garages and backyards. FMC has now closed on nearly $110M in multifamily acquisitions in 2024.
"We're excited to close on our 20th acquisition, particularly as it represents our first entry into a new market and our 10th state overall," said Eric Mallon, President and co-founding partner of Four Mile Capital. "Following the success of our recent Omaha multifamily acquisition, our first in 2 years, we raised over $20M in equity for this Ohio purchase, which is our largest fundraise to date and indicative of strong investor appetite for high performing multifamily assets in quality markets," Mallon continued. Four Mile views this new market as a key target moving forward, with resilient economic fundamentals and a well-balanced supply and demand housing dynamic. The submarket in particular has a favorable market outlook, including a stable construction pipeline and a robust demographic profile, which will support long-term growth.
The property stands apart in its comp set, offering residents market-leading amenities for the property type, including a 24-hour fitness center, a picnic area with BBQ grills, an outdoor lounge with TV and firepit, an EV charging station, a dog park, walking trails, scenic ponds, a resident clubhouse, recreation room, and a package receiving area.
Unit interiors feature modern, single-story floor plans with vinyl plank flooring, vaulted ceilings in the living and kitchen areas, 9-foot ceilings, oversized walk-in closets, washer/dryer hookups, private patios, stainless steel appliances, laminate countertops, and attached two-car garages.
"After carefully evaluating numerous opportunities in this market over the past nine months, we are thrilled to purchase a brand-new, class-A property with several identifiable competitive advantages. This acquisition offers a mark-to-mark rent opportunity at or below replacement cost, coupled with strong cash flow out of the gate and a projected year-one cap rate of 6.3%. With a tenant rent-to-income ratio under 20% at the Property, and a straightforward business plan, this acquisition sets up nicely to meet or exceed our proforma expectations and deliver strong risk-adjusted returns for our investors," said Ryan Atkin, Chief Investment Officer and partner at Four Mile Capital.
Four Mile Capital continues to pursue stabilized and select value-add investment opportunities in secondary and tertiary markets throughout the U.S., with a specific focus in the Midwest and Mid Atlantic, along with select markets in the Mountain West and Southeast. FMC employs an opportunistic strategy in acquiring off-market, limited-market and select fully marketed properties that fall below the radar of its institutional peers, targeting investments with a total capitalization between $20MM and $75MM, and between $10MM and $25MM of equity.
Four Mile Capital was formed in 2016 and is led by three veteran real estate principals: Chris Geer, Eric Mallon and Ryan Atkin. Their current portfolio consists of nearly 2,700 units valued at over $500M, but collectively, they have been involved in the ownership, acquisition, asset management and property management of over 14,000 multifamily units representing over $1B+ in value and have proven their ability to identify and unlock asset value by instituting best management practices and capital improvement programs. Learn more about Four Mile Capital on their website or on LinkedIn.
Media Contact
Jack Sorenson, Four Mile Capital, 1 8474943856, [email protected], https://fourmilecapital.com/
SOURCE Four Mile Capital
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