Tamarack Capital
Viewing data room for Strider 1
Overview
Tamarack Capital brings real estate investment opportunities to our investors through Syndications
What is a Syndication?
- A Syndication is a group of investors (called Limited Partners) who want to passively invest in a real estate project
- The Syndication is led by the General Partners (Tamarack Capital), who do the work of sourcing the investment project, executing on the improvement plan, and managing the property
- It’s the General Partners’ responsibility to operate the Syndicate in a way that optimizes the LP’s returns and return their capital as quickly as possible; ideally in 5 years or less
Our Investment Strategy: Value-Add
The core of our strategy is to find mis-managed apartments where we can improve the asset’s profitability
We do this through three methods:
- Renovation of the units
- Improved marketing to tenants
- Expense Controls
By increasing Net Operating Income (NOI), the asset proportionally increases in value resulting in growth of our owner’s equity
Strider 1 Holdings
All Strider 1 Investors will have direct ownership in Strider 1’s Assets
Latah 24
Purchased Aug ‘23
$2.6M
Pullman, WA
Chestnut 11
Under Contract
$925k
Clarkston, WA
Highland 31
Under Contract
$3.2M
Clarkston, WA
Strider 1 Forecasted Performance
The blended asset performance is forecasted to produce 4%-8% Cash-on-Cash returns after property stabilizations and a total investor return of 1.8x over the investment lifecycle.
Latah 24-Units
Pullman, WA Purchased Aug, 2023
Already outperforming initial expectations
Cosmetic Value Add located on the edge of WSU Campus
Proven rent increases with 40% of Units leased at increased rates
- 5 Year Projected Equity Multiplier: 2.5x
- Average Cash-on-Cash Return: 8%
- Total Aggregate Return (IRR): 21%
Highland 30-Units
Clarkston, WA Under Contract
Located in heart of Clarkston, WA
Located in heart of Clarkston, WA
Rents are 13% below market in current condition
Renovations of $12k/unit would allow 29% rent increase
Market is supply constrained: Tenants are on waitlist to move in and no new apartments are in the pipeline
- 5 Year Projected Equity Multiplier: 1.7x
- Average Cash-on-Cash Return: 6%
- Total Aggregate Return (IRR): 14%
Clarkston, WA Under Contract
Cosmetic Value Add
Rents are 11% below market in current condition
Renovations of $10k/unit would allow 33% rent increase
Owner has not been focused on optimizing rents
5 Year Projected Equity Multiplier: 1.6x
Average Cash-on-Cash Return: 6%
Total Aggregate Return (IRR): 15%
What its like investing with us
Quarterly Updates
Status updates on the improvements, financial reports and general thoughts
Expected Returns
Forecasted 6% distributions and 1.8x return on equity after five years
Passive losses coming from property depreciation
Exit Plan
Five-year target hold period (subject to market conditions and execution success). Investors have option to reinvest with us and delay capital gains tax
Strider 1, LLC Equity Status
We are actively seeking new investors to participate in these acquisitions
Current & Committed Equity: $1.9M
Target Additional Equity: $1.0M
Both properties under contract are in the due diligence phase with feasibility waiver by June 9th. We’re seeking capital commitments prior to June 9th.
Casey Stratton
Managing Member – Finance & Acquisitions
casey@tamarackrei.com
509-430-9000
Max Schneider
Managing Member – Operations & Acquisitions
max@tamarackrei.com
509-430-9000