RK Properties, a sponsor of private placements and 1031 exchange offerings, has sold Parkway Vista located in Atlanta for nearly $55.3 million. The sale was facilitated on behalf of one of the company’s tenant–in-common 1031 exchange programs and the RK Opportunity Fund IV.
The property was originally purchased in January 2017 for $29 million. According to the company, coupled with cash flow generated during the hold period, the sale resulted in a total return to the TIC investors of 215.25 percent and 195.93 percent to the shareholders in the RK Opportunity Fund IV. The hold period was 5.2 years, resulting in average annual returns of 21.95 percent and 18.27 percent, respectively.
The company added that roughly 95 percent of the TIC investors are in the process of participating in another 1031 tax-deferred exchange into a new RK Properties acquisition.
“We are very proud of our 46-year multifamily track record and our successes are highlighted by our loyal following,” said Steve King, chief operating officer of RK Properties.
Parkway Vista is a Class A, 224-unit gated multifamily community built in 2002.
King said that Parkway Vista was “a successful valued-add opportunity” where on turns the firm upgraded cabinets in kitchen and baths, added granite counter tops and “high-end” finishes, as well as exterior upgrades and improvements to the property amenities.
“Because the location and quality of the asset the upgrades were well accepted, and we were able to push the rents to increase the value of the property on behalf of our investors/owners,” King concluded.
In other company news, RK Properties recently closed escrow on a new Delaware statutory trust acquisition, Grandview at Clear Pond located in the Myrtle Beach, South Carolina.
RK Properties, founded in 1976, offers multifamily replacement properties for 1031 tax deferred exchanges, as well as straight capital investment opportunities for accredited investors who are seeking a real estate investment. As of April 2022, the firm has sponsored 161 private placement programs, of which 146 have gone full cycle.