Crowdfund Insider | By Samantha Hurst | Nov 23, 2015

On Monday, online marketplace for real estate investing, RealtyMogul,  announced a full capital stack transaction combining debt and equity with the successful purchase of a 112-unit apartment community, Bristol Park Apartments, in Fayetteville, NC.

Bristol Park Apartments, located six miles southwest of the US Army Base Fort Bragg, is 95 percent occupied, has new construction, with spacious floor plans that include 9-foot ceilings, large kitchens, walk-in closets, and fireplaces. Anchored by Fort Bragg, the largest US Army base by population, the soldiers receive a “basis allowance for housing,” which is greater than the in-place rents in the property. The transaction also includes a 7.6-acre lot at the rear, which was acquired alongside the apartment building in this transaction.

RealtyMogul funded $7.59 million in bridge financing and raised $1.5 million in joint venture equity for a total of 90 percent of the $10.12 million purchase price through both debt and equity. The Sponsors, Evolution Estate Partners and Triumph Management Group, plan to phase out the lease-up concessions and sell the property within five years.

See:

• Canada’s first crowdfunded real estate deal closes

• Part III: Is Culture Killing Equity Crowdfunding in Canada: Real Estate Spotlight

Jilliene Helman, CEO of RealtyMogul, stated:

“Our vision at RealtyMogul.com is to simplify real estate and be a one-stop shop for both equity capital and debt capital – this transaction highlights the power of our platform and provides a roadmap for us to be the leader in financing the full capital stack for commercial real estate. We’re excited to partner with Evolution Real Estate Partners and Triumph Management Group and excited about the plans for this 112-unit apartment complex.”

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