HEDGES: BEDRIN’S NEW LUXURY LIFESTYLE APARTMENT BRAND
February 18, 2022The Bedrin Organization is proud to announce the sale of our Hunt Village Shopping Center in Greensboro, NC, which created the equivalent of a 24% annual return for our investors in just three and a half years. To put in perspective, most passive investment opportunities generate 3%-8% per year at best. In this article we reveal our trade secrets and how we were able to create this tremendous success.
Why we purchased Hunt Village in 2018:
Hunt Village was collecting significantly under market rents brought on by overdue road construction and owner fatigue to raise rents. Hunt Village is in a great location with main access at the entry point to Sedgefield, a high growth part of Greensboro. We knew Hunt Village would benefit in a short amount of time from planned growth in the area and completion of road construction which would warrant an increase in rents. We also see value where others might not. We value Mom and Pop tenants that provide services and experiences because those businesses are hard to duplicate on the internet. Hunt Village is anchored by a family owned pet store, All Pets Considered and accompanied by restaurants, a paper crafting venue, a salon and other unique experiences. Our intuition on location, viability and tenant mix was correct, and before selling we were able to increase occupancy in the center, raise rents and create a dynamic tenant mix increasing the value of Hunt Village.
For the info you’ve been waiting for… the real numbers and deal that created a 24% annual return for our investors in less than 4 years. Drumroll please…
In 2018 The Bedrin Organization purchased our Hunt Village Shopping Center for $2,890,000.
In just 3.5 years, Hunt Village was sold for $4,600,000! That’s a $1,710,000 Increase!
Check Out the Deal
Purchase Price $2,890,000
-$1,000,000 equity invested from our high net worth, accredited investors
-$2,000,000 borrowed from Bankwell Bank, CT
During the 3.5 year investment period our investors (totaling $1,000,000) received 8% return on their investment.
Upon sale, our investors received an additional 1.6X their equity investment, which is the equivalent of an outstanding 24% annual return on their initial investment.
Case Study: Based on a $100,000 Investor
+$28,000 payments over 3.5 years (8% x $100,000)
+$45,000 profit at closing
+$15,000 in other cash flow and tax payment
+$100,000 return of initial investment
=$188,000 Total Payments
-$100,000 Investment
Net Profit $88,000!!!
Gratitude
It is with great honor we’d like to thank our broker, Erin Varol, Director, Berkeley Capital Advisors for closing this deal for us. You went above and beyond to see this deal over the goal line and we can’t thank you enough for your perseverance.
Erin Varol, Director, Berkeley Capital Advisors
https://berkeleycap.com/about/our-team
We also would like to thank our Brokers Charlie Fulk and Spencer Bennett from Meridian Realty for introducing us to the opportunity to purchase Hunt Village back in 2018.
We are also grateful to our investors that partnered with us on this project for entrusting The Bedrin family with your hard working capital. It is because of professional and accredited investors like you that we can create these opportunities. It’s an honor and pleasure to work with each of you and provide you with this above market result and the safe return of your precious capital.