Residential Adaptive Reuse Fund
Invest at the
GP Level
With Proven Conversion Specialists
Access sponsor-level returns through a $50 million co-GP fund targeting the conversion of under-utilized hotels and offices into high-demand residential communities.
30%
Target Net IRR2.3x
Net Equity Multiple15%
Preferred ReturnExecutive Summary
Executive Summary
Still Property Group Fund I, LP is a $50 million co-general partner fund designed for accredited investors seeking direct exposure to sponsor-level returns. The fund targets the acquisition and conversion of underutilized hotel and office properties into high-demand residential communities across supply-constrained U.S. markets.
By investing alongside SPG in the GP position of each joint venture, fund investors receive a 15% preferred return and participate in 25% of the net sponsor promote. With over $150 million in transactions already under contract and a vertically integrated execution team with 40+ years of experience, the fund is positioned to deploy capital immediately into high-conviction, de-risked adaptive reuse projects.
| Key Highlights | |
|---|---|
| Fund Size | $50 Million |
| Fund Structure | Co-General Partner (Co-GP) |
| Preferred Return | 15% Net to Investors |
| Target Net IRR | 30% |
| Net Equity Multiple | 2.3x (Net of Fees) |
| Target Hold Period | 4 Years (Avg. Project Hold) |
| Promote Participation | 25% of Net GP Promote |
| Active Pipeline | $150M+ in Projects Under Contract |
| Investor Eligibility | Accredited Investors Only |
Why Invest in this Fund?
Co-GP Access with proven conversion specialists
SPG Fund I is not a traditional real estate fund. It’s a co-GP investment platform designed to give accredited investors rare access to sponsor-level returns — typically reserved for insiders — through a targeted strategy backed by experience, execution, and immediate deployment opportunities.
3. Proven Adaptive Reuse Strategy
We specialize in transforming underutilized assets into high-performing housing.
Our track record includes successful conversions of hotels, offices, and rental properties into vibrant residential communities — delivering strong returns while solving real housing shortages.
2. Experienced Execution & Vertical Integration
From sourcing to delivery, SPG controls every stage.
With over 5,000 units converted and $1 billion in transactions, our in-house team manages entitlements, construction, design, and operations — reducing risk and increasing efficiency.
4. Immediate Capital Deployment into Pipeline
You’re not investing in a concept — you’re joining a pipeline.
Over $150 million in projects are already under contract at 45–50% of replacement cost. Your capital is put to work immediately in deals we control and underwrite internally.
1. Co-GP Access with Promote Participation
Most real estate funds place LPs in passive roles — we invite you to the table.
SPG Fund I allows investors to participate directly in the GP position of each joint venture and share in 25% of the net sponsor promote. That means sponsor-aligned returns, not just preferred distributions.
Why Invest Now
A Rare Window to Capture Conversion Alpha
SPG Fund I is not a traditional real estate fund. It’s a co-GP investment platform designed to give accredited investors rare access to sponsor-level returns — typically reserved for insiders — through a targeted strategy backed by experience, execution, and immediate deployment opportunities.
Commercial Real-Estate Reset
U.S. office vacancy sits near 20 % as remote‑work reshapes demand, pushing many assets below replacement cost — prime buying ground for conversions.(Source: CommercialEdge)
The SPG Edge
Off Market Sourcing & Cost Reduction
SPG acquires vacant Class‑B offices like The Hancock at $85 / GSF—roughly 45 % of replacement— locking in basis‑driven upside before construction begins.Market Condition #3
Remote Work Vacancies
Cities such as Los Angeles, Miami and Honolulu now provide flexible zoning, tax abatements, and expedited approvals for mixed‑use conversions.(Source: LA City Planning)
The SPG Edge
30+ Years Entitlement Expertise
SPG’s entitlement team (50 + successful conversions) navigates ordinances like LA’s Adaptive Reuse Order to shave months off schedules and reduce holding risk.Market Condition #4
Construction-Cost Inflation
Building‑materials are up 34 % since 2020. Converting standing structures avoids much of that cost spike. (Source: JLL)The SPG Edge
Procurement Leverage
We are our own procurment agents, deploying direct‑buy program trims materials 10‑20 %; inflation protection passed to the bottom line.Market Condition #5
Tariff Uncertainty
Fresh rounds of metals tariffs keep new‑build proformas volatile; reuse projects carry far lower commodity exposure and expected investor returns have lowered.(Source: Reuters)
The SPG Edge
Seeded Deal Flow & Ready to Deploy
Investors ride on the GP side: 15 % pref + 25 % of the sponsor promote → 30 % net IRR target on a 4‑year hold.Market Condition #2
Severe Housing Undersupply
Freddie Mac pegs the national shortfall at 3.8 M homes; coastal metros are the tightest. New supply that skips ground‑up timelines wins.(Source: FreddieMac)
The SPG Edge
Deliver-to-Demand Speed
Adaptive projects average 18‑24 months faster than ground‑up. SPG’s vertical control, from design to construction, compresses that further.The Pipeline
$150m+ of Deals Already Under Contract
SPG Fund I is actively deploying capital into a pipeline of adaptive reuse projects we control, underwrite, and operate. These deals have been sourced off-market or through longstanding institutional relationships, and each one represents our core strategy: acquiring underutilized assets at 45–50% of replacement cost and transforming them into high-performing residential properties.
Your investment isn’t waiting on market timing — it’s being allocated into high-conviction, de-risked projects already underway.
Office-to-Residential
In Contract
The Hancock
Los Angeles, CA
Located in Hancock Park, this Class B office asset will be converted into 69 apartments. Acquired off-market at ~45% of replacement cost, with favorable zoning and strong rent comps. Fast-track entitlement and in-house construction streamline delivery.
| Asset Type | Office-to-Residential Conversion |
| Units | 69 |
| Existing SF / Resi SF | 207,924 SF / 151,553 SF |
| Purchase Basis | $85/SF | $18M Total |
| Total Project Cost | $103.3 Million |
| Target IRR / MOIC | 38.0% IRR | 2.5x MOIC |
| Hold Period | 48 Months |
| Status | Under Contract (SPSA Stage) |
Office-to-Residential
In Contract
Pioneer Vista Townhomes
San Mateo, CA
An entitled townhome development in San Mateo, converting a former office parcel into 10 spacious, high-margin homes. Shovel-ready and located in one of the most supply-constrained markets in California.
| Asset Type | Office-to-Townhome Development |
| Units | 10 Townhomes |
| Resi SF | 28,600 SF |
| Avg Unit Size | 2,968 SF |
| Total Project Cost | $14.7 Million |
| Target IRR / MOIC | 47.7% IRR | 2.3x MOIC |
| Hold Period | 27 Months |
| Status | Entitled & Pre-Construction |
Hotel-to-Residential
In Contract
The Jade @ Space Coast
Merritt Island, FL
A hotel-to-residential conversion in Florida’s rapidly growing Space Coast, this 8-acre site will deliver 158 apartments with proven design, amenities, and affordability in a severely supply-constrained rental market.
| Asset Type | Hotel-to-Apartment Conversion |
| Units | 158 |
| Resi SF / Gross SF | 110,750 SF / 162,773 SF |
| Avg Unit Size | 701 SF |
| Purchase Price | $7.0M ($94/SF) |
| Total Project Cost | $25.2 Million |
| Estimated Exit Value | $37.2 Million |
| Target IRR / MOIC | 31.4% IRR | 2.68x MOIC |
| Hold Period | 60 Months |
| Status | Under Contract (SPSA Stage) |
Fund Terms & Structure
How the capital Stack Works for You
SPG Fund I, LP is a $50 million co‑general‑partner vehicle that puts investors in the sponsor’s seat across a portfolio of high‑conviction adaptive‑reuse conversions.
- Preferred Return: 15 % net, compounded quarterly.
- Promote Participation: Investors collect 25 % of the GP promote after the pref is hit — a share normally reserved for the operator.
- True Alignment: SPG principals co‑invest alongside the Fund in every deal, and all GP promotes earned at the project level flow back to Fund I.
- Institutional Governance: 2 % management fee on deployed capital (drops 50 % once capital is returned), European waterfall, annual audit, and an LP‑majority advisory board approving all affiliate fees.
- Diversification & Velocity: Six‑to‑eight deals, 65 % debt leverage, four‑year average hold, immediate deployment into a $150 million pipeline already under contract.
*Only accredited investors may subscribe (Reg D 506(c)). Past performance is not a guarantee of future results.
| SPG Fund I — Term Sheet Highlights | |
|---|---|
| Fund Size (Target) | Up to $50 Million |
| Strategy | Co‑GP equity in adaptive‑reuse conversions |
| Preferred Return | 15 % IRR (net to LPs) |
| Investor Share of Promote | 25 % of net GP promote |
| Target Portfolio Return | 30 % IRR | 2.32× MOIC (net) |
| Management Fee | 2 % on deployed capital (drops to 1 % post‑ROC) |
| Fund Term / Project Hold | 5‑Year Fund | 4‑Year avg. project hold |
| Leverage | ≈ 65 % LTV at the asset level |
| Governance | European waterfall; LP advisory board; annual audit |
| Eligibility | Accredited Investors | Reg D 506(c) |
Investor Resources
Webinars & Documents
| Investment Documents | |
|---|---|
| Fund Size (Target) | Up to $50 Million |
| Strategy | Co‑GP equity in adaptive‑reuse conversions |
| Preferred Return | 15 % IRR (net to LPs) |
| Investor Share of Promote | 25 % of net GP promote |
| Target Portfolio Return | 30 % IRR | 2.32× MOIC (net) |
| Management Fee | 2 % on deployed capital (drops to 1 % post‑ROC) |
| Fund Term / Project Hold | 5‑Year Fund | 4‑Year avg. project hold |
| Leverage | ≈ 65 % LTV at the asset level |
| Governance | European waterfall; LP advisory board; annual audit |
| Eligibility | Accredited Investors | Reg D 506(c) |