Dimension on 27th
Jevan took the failing property near Grand Canyon University and increased the property value by 414% in 6 years
Property Overview
In January of 2017, we purchased a “Distressed” 260 unit Desert Place apartment complex. The Asset was in the path of progress, driven by neighboring Grand Canyon University (GCU) expansion. The performance was suffering due to the former owner’s inexperience with attainable housing.
Strategy
Desert Place’s underground hot water lines were failing, and the property suffered from multiple leaks per month. We abandoned the leaky boiler system and installed individual water heaters to eliminate the gas bill, reducing the utility expenses 27%. Jevan established a plan to upgrade the property and the tenant profile and rebrand as Dimension on 27th. We properly secured with perimeter fencing, updated clubhouse, common areas and thoroughly landscaped to create a family friendly environment. Community outreach with incentivized Jevan team members on-site. We professionally managed by the Golden Rule.
Investment Summary
- Rents increase 83% during Jevan ownership
- Utility expense reduced 27% due to near elimination of gas bill
- 203% Increase in NOI 2017 to 2023
- Natural gas annual usage reduced by 96% or 52,000 Therms, which according to the E.P.A. equals 276 Metric Tons of CO2 - the equivalent of a car driven 685,335 miles per year
- Project generated an equity multiple of 3.54x
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