CORE Pacific Advisors Reports 10.47% IRR on First Full-Cycle Property Disposition

CORE Pacific Advisors, an investment advisory firm and sponsor of securitized 1031 exchange offerings, has finalized the sale of CPA Barrington Apartments DST, its first full-cycle multifamily property consisting of 376 units and located in Montgomery, Ala.

According to the company, CPA Barrington Apartments DST was acquired in March 2019 and offered to investors at $61.5 million, sourced off-market through established relationships and utilizing $21.5 million of equity. The sale resulted in an equity multiple to investors of 1.31x, increasing to 1.65x when including distributions. Its internal rate of return was 10.47%.

“It is a significant milestone for the company to witness our first DST reaching full cycle,” said Justin Morehead, chief executive officer of CORE Pacific Advisors. “I am proud of our staff and grateful that we were able to provide solid returns to our investors during a turbulent period in the market for closing deals. The current low supply pipeline has created a considerable opportunity for growth and provided us with the perfect moment to exit, as affordable housing and restricted use have become central topics in discussions on future development.”

Morehead also noted that the property, constructed in 2002, was well-positioned and that CORE’s internal management maintained rents near the top of the market.

The company highlighted that it expects more of its DSTs to go full cycle and is looking forward to a more attractive market in 2025, anticipating favorable conditions for future investments and growth.

CORE Pacific Advisors, an affiliate of CORE Realty Holdings Management, sponsors 1031 exchange offerings, including Delaware statutory trusts and tenant-in-common structures.

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