A Diamond in the Rough
Challenge
A previous client was in a 1031 tax-deferred exchange and looking for a value-add opportunity in a strong retail market. He had looked at other opportunities that had been presented to him but felt a little unsure of their location and viability to produce the results that he was looking for.
He needed something that he felt confident had a long-term, stable location that would be able to command the rent’s that would satisfy his preferred return. He also wanted the property to be located within a territory that he had familiarity with and he could easily visit the property if needed while also being able to travel back within the same day.
Action
The investor engaged Jordan Wood to help him find the right property that checked all the boxes to fulfill his 1031 exchange. Jordan went to work looking for property and identified a perfect “diamond in the rough” opportunity for his client. The property was located in a strong, growing city (Lubbock, TX) and was located at the highest trafficked intersection with over 180,000 VPD. The property had great visibility from Loop 289, which circles the city and provides the easiest and fastest way to navigate Lubbock. The property had been vacant since Toys R Us vacated and had been in need of someone to bring life back into the property. The rents in the area provided ample lease comps to ensure that the property could deliver the investors preferred returns.
Result
Jordan was able to navigate the purchase process and the investor was able to close on the property at the right price. After a successful marketing campaign, Jordan was able to secure National credit tenants, paying the right rent to secure the investors returns. Negotiations went smoothly and the property is now home a 23,000 SF Aaron’s Home Furnishings and the Largest Texas Roadhouse that has ever been built. This provided the investor with great returns while also securing long-term stability for the property. This process breathed life back into the property and has become one of the busiest,
notable properties in all of Lubbock. The investor also is positioned for an excellent exit strategy for the future.
Testimonial
“This project was a massive undertaking and I can say with 100% confidence that Jordan was the right guy for the job! His communication was key to the success of the project and
was willing to do whatever was necessary to get the right results. When he says he will do something, you can rest assured that it will be done. We set up weekly calls to make sure
that we did not miss any details and that we were proceeding along as planned in this redevelopment. I was able to achieve the goals that we set out early in the process and Jordan was a primary factor in making that happen. I highly recommend working with him and look forward to our next project!”
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For More Information, contact:
Jordan Wood, CCIM
(806) 317-4666 (C)
(806) 784-3224 (O)