Warrior Win

Ronald and Mary Jane Lou 204 Units Closed

Ronald and Mary Jane Lou

From Auto Mechanic and Electrical Engineer to Multifamily Investors

Ronald, a former auto mechanic turned software engineer, began his real estate journey with single-family homes before transitioning to commercial properties after joining the Warrior program two years ago. His superpower lies in deal sourcing and capital raising, fueled by passions for sports, fitness, new business ventures, economics, and cars. Mary Jane, with a long career in the Department of Defense as an electrical engineer and manager, shifted to full-time real estate 1.5 years ago. As an Airbnb operator, her strengths are in deal sourcing and underwriting, complemented by her interests in interior design, fashion, economics, and raising their two sons.

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Property Overview

Property Name: The New Horizon Apartments
Location: 4848 Goldfield Dr, San Antonio, TX 78218
Number of Units: 204
Value Add Deal: Yes
Purchase Price: $16,900,000
Projected Monthly Rent Increase: $49
Anticipated Value After Value Add: $26,663,001
Estimated Cash-on-Cash Return: 7%
Estimated Internal Rate of Return (IRR): 18%

How This Deal Came Together

Deal Source

Broker Relationship: The property was sourced through a connection with another Warrior who brought it to Ronald and Mary Jane after it went under PSA, allowing them to assist with capital raising and asset management.

Equity Raise2

Total Equity Raised: $6,600,000
How It Was Raised: Through Limited Partner (LP) investors.

Financing Structure

Loan-to-Value (LTV): 75%
Lender: Fannie Mae
Syndication Type: Syndication

Value-Add Strategies

Exterior Improvements: New paint, roof, siding, and repairs to patios and balconies.

Clubhouse Conversion: Transforming the clubhouse into a new unit.

Infrastructure Enhancements: Upgrading parking lots, sidewalks, and adding a new sign.

Pool Renovation: Refinishing pools and renovating 28 classic units.

Security Measures: Implementing a security guard and adding an Amazon locker.

Professional Management: Engaging a professional management team to optimize operations.

Market Rent Adjustments: Raising rents to align with market rates.

Loan Assumption: Securing a loan assumption at 3.78% interest.

Challenges Faced

Equity Raise Complexity: Overcoming the challenge of raising equity during a difficult economic climate.

Warrior Program Support

The Warrior program provided invaluable support, with guidance from mentors and fellow Warriors like Tom Petreca, Vinicius Ramos, Nacho Merino, Jose Martinez, Mike Bailey, Tarek, and Roushel Eid, who helped navigate the complexities of the deal.

Lessons Learned & Key Takeaways

Always Be Raising Capital: Start building relationships and engaging with investors before a deal is secured.

Marketing Yourself and Your Brand: Effective self-promotion and brand marketing are crucial.

Initiate Conversations: Engage in discussions with new people to expand your network.

Host Meetups: Running meetups can foster connections and opportunities.

Content Marketing: Utilize newsletters and websites to share insights and attract investors.

It’s been a great ride, we couldn't ask for a better group and had made lifelong friends and partners.

Ronald and Mary Jane Lou

Be the Next Warrior Success Story

Be the Next Warrior Success Story
Ronald and Mary Jane’s journey exemplifies how the right mentorship, strategic networking, and decisive action can lead to remarkable success in multifamily real estate. If you’re ready to transform your real estate aspirations into reality, consider joining Rod Khleif’s Warrior Mentorship Program. With expert guidance, a supportive community, and the tools you need to succeed, you can turn challenges into opportunities and achieve your financial goals. Apply for mentorship today!

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Warrior Win

Ronald and Mary Jane Lou 204 Units Closed