Financial Performance:
Original Capital Investment: $854,000
IRR: 11%
Equity Multiple: 2.57X
Description:
Governor’s Court consists of 5 two-story garden-style apartment buildings located in Olathe, KS. The property has 28 one-bedroom units, 48 two-bedroom units, and 4 three-bedroom units. Located just 20 miles south of Kansas City, Governor’s Court provides its residents with an affordable housing option within the affluent Johnson County sub-market. Community amenities include laundry facilities in each building, off street parking, and storage lockers for rent.
MPC Strategy:
McKee Private Capital purchased Governor’s Court in 2007 after having established a presence in the nearby Kansas City market. Given this property’s close proximity to Kansas City and the favorable market demographics of Johnson County, MPC was able to realize immediate rent growth post acquisition resulting in strong investor returns over the term of the investment. MPC decided to divest Governor’s Court in 2017 and completed a successful 1031 exchange into a brand new multifamily asset located in Springfield, Oregon.
