Residential Adaptive Reuse Fund
Executive Summary
Fund Structure & Strategy
Target Assets
Distressed offices and hotels ideally situated for residential conversion.
Target Markets
Supply-constrained coastal metropolitan areas (SF Bay, LA Metro, Central Coast FL)
Project Types
Office-to-Residential, Hotel-to-Residential, Multifamily to Condo
Investment Period
3 years from Fund close; Total fund lifecycle ~6-8 years
Our Proven Investment Strategy
The Jade Apartments
SPG purchased the 330-key hotel in Q4 2022 and began the gut renovation into a Class A property with 238 apartments with a $15M construction budget. Phase 1 units began renting March 2023 and are over 90% occupied.
The Jade has proven its success with approx. 55% of its total 238 units leased and 80% of construction completed. Phase 2 will add 94 units and is expected to be completed and fully leased by Q4 2025.
1150 3rd St SW, Winter Haven, FL | |
Units | 238 |
Gross Square Feet | 150,000 |
Costs | $33.0M |
Exit | $55.4M* |
Deal IRR | 26.1%* |
Deal MOIC | 2.6x* |
Key Performance Indicators
Rents +10% over proforma
$2.61 Rent/Sqft - 55% above comps
Expected hold period of 54 months with GP returns of 44% IRR
Visit The Jade Website
Investor Returns & Terms
Fund General Partner: | STILL Property Group Fund I GP LLC (the “General Partner”) |
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Fund Manager: | STILL Capital Partners LLC (the “Manager”) |
Fund Amount: | Up to $20 million |
Target Returns: | 30% IRR (net) / Net MOIC exceeding 2.25x |
Investment Period: | 3 Years from Fund close |
Hold Period: | Target 6-8 Years |
Joint Venture Carried Interest (“Promotes”): | Promotes earned from the Fund’s JV GP investments will flow to the Fund. |
Waterfall: |
Preferred Return: 15% IRR (net) to Investors Thereafter, Investors receive 25% of all net cash flow available including project cash flows and promotes (Waterfall Type: European) |
Management Fee: | 2.0% on deployed capital, annually (50% reduction after return of capital) |
Property Management & Other Fees: | SPG may be paid market fees for acquisition, property management, development fees, leasing, and construction/project management. Affiliate fees are subject to advisory board approval. |
Featured Investment Pipeline
Office-to-Residential
In Contract
The Hancock
Los Angeles, CATotal Capitalized Costs | $101.1M |
Total Residences | 69 units |
Acquisition Basis PSF | $85 / GSF |
Projected Exit | $168M |
Projected Deal Returns | 42% IRR / 2.6x |
Office-to-Residential
In Contract
Pioneer Vista Townhomes
Los Angeles, CATotal Capitalized Costs | $16.3M |
Total Residences | 10 Townhomes |
Acquisition Basis PSF | $199 / GSF |
Projected Exit | $23.2M |
Projected Deal Returns | 37% IRR / 2.3x |
Hotel-to-Residential
In Contract
The Jade Merritt Island
Merritt Island, FL$38M Hotel to Apartments Conversion in FL's "Space Coast" - 8 miles from SpaceX
Total Capitalized Costs | $26.3M |
Total Residences | 158 units |
Acquisition Basis PSF | $94 / GSF |
Projected Exit | $38.2M |
Projected Deal Returns | 34% IRR / 2.4x |