Mid Month Update September 15, 2015
Our thoughts and prayers are with those affected by the fires here in Northern California. Watching people come together to support the individuals and families who lost everything is a true testament to the amazing community we are fortunate enough to live and work in.
Altus Hybrid Growth Fund
- Occupancy remains stable at close to 100% for our rental units.
- We closed on the sale of both 5 Palm Ave. in Healdsburg and La Riviera in Sacramento.
- Renovations continue on the 2 bed 1.5 bath Sacramento home with a plan to be on the market by late October.
Altus Multi Tenant Income Fund
- The Villaggio property in Sacramento is continuing to hold occupancy at 100%.
- Shasta View has seen typical summer turn over but is filling up now that the school year has started. The property is currently at 94% occupancy with 5 approved applications for the 3 vacant units.
- While in OKC, we also visited the Cedar Hills complex where we currently are experiencing strong lease renewals and pre-lease activity for units coming vacant. We have been able to push rents up on turned units and are testing higher end finishes to determine if they can command a premium. Tenant appreciation events have been successful with another one scheduled for the last Friday of this month.
- We continue to market the remaining available space in the back building.
- The lot split is still waiting for final approval.
- We currently have two properties in contract to sell with one closing this Friday. This leaves one remaining property to sell - a single family home in Sacramento that has a tenant with a long term lease.
- Central Ave, Sonoma – This project is moving along nicely. PG&E recently installed gas and electric meters and we are finishing the truss installation/
- Sonoma, CA – Our 7 unit townhome project is moving forward. We are gearing up for demo and site work set to begin next week. Plans have been received from the architect and will be submitting for permits this week.
- Albany, OR – Improvements to our 3 bedrooms flip are going well and we anticipate project completion near the end of the month.
- Graton, CA 3 Units – The original buyer backed out, however within a few days we received 3 additional offers and are currently in contract waiting on the buyer to complete their physical inspections.
- 1409 West Ave. Santa Rosa – Sold.
- 1315 Deturk, Santa Rosa – Scheduled to close next week.
- The majority of the units at our 10 unit complex in Sacramento have been upgraded and the re-tenanting process is going well.
- Carmichael, CA – Currently we have two vacant units on the market. Two additional units are currently rented. All 4 units are available with a bulk discount with a purchase of $432K with the possibility of a portion of the financing being carried by Altus. This is about the best rent to purchase price ratio that can be found on individual units in Northern California. Contact our office at (707) 932-5887 if you have any interest. These are a great option for a 1031 exchange.
- Several members of our team spent nearly a week doing on-site inspections of the 304 unit complex in Oklahoma City and interviewing property managers. With rents well below market we see a lot of potential upside on this deal. Our due diligence is well underway and we will be making a final determination of whether or not we will be moving forward in the next week or so.
- We have removed physical contingencies on the 33 unit property in Sacramento and financing has been lined up. We anticipate closing on October 15th.
- We recently dropped the price on our new construction in Windsor and hope to have an offer in hand soon.
- Tulsa, OK – We continue to wait patiently for the resolution of the title issue for these two off market apartment complexes so that we can close the transaction.
- Construction is still moving along great in the new office building. Windows and doors are in and painting is set to begin next week. New office furniture will be ordered this week.
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