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RK Properties TIC Investment Fully Subscribed

RK Properties, a private alternative investment company that specializes in multifamily properties, completed funding for its 111th sponsored program, Black Mountain at Henderson. The Black Mountain property is a Class A, 213-unit multifamily community located in Henderson, Nevada that was purchased for $25.4 million on behalf of tenant-in-common investors and RK Opportunity Fund III shareholders.

Built in 2008, Black Mountain at Henderson includes a mix of one-, two-, and three-bedroom units with an average square footage of 1,029. The individual units feature full-sized washers and dryers, walk-in closets, 9-foot ceilings, breakfast bar and an office/entertainment niche. Property amenities include a pool, spa and sundeck, fitness center, business center, picnic and BBQ areas, and detached garages.

The firm raised approximately $16 million from a mix of RK Opportunity Fund III shareholders and individual tenant-in-common investors who contributed an average of approximately $418,000 each. RK Properties also secured a $15 million loan from Wells Fargo Bank to fund the purchase and a $2.03 million capital expenditure budget.

The cap ex budget will be used to fund new granite counters and cabinet doors in the kitchens and baths, ceiling fans, stainless fixtures, and faux wood flooring. In addition, the company expects to complete upgrades to the clubhouse, leasing office, gym and pool area, as well as the exterior of the property.

The initial distribution rate to investors is 5 percent.

Rance King Properties Inc., also known as RK Properties, is a Delaware corporation that has specialized in multifamily investments since 1976. The company has sponsored more than 100 investment programs valued in excess of $1.5 billion. More than 65 of the programs have gone full cycle. Rance King Securities Corporation is a California corporation and acts as the placement agent for investment products sponsored by RK Properties.