For Immediate Release
Vice President Private Equity
MLG Capital Announces Latest Investment
Trails at Creekside (444 Units – Allen, TX – DFW MSA)
MILWAUKEE, WIS. September 6th, 2018 – MLG Capital is excited to announce the strategic investment into Trails at Creekside, a 444-unit multi-family property. The asset is located in the highly sought-after city of Allen, TX, within the northern area of the greater Dallas/Fort Worth MSA (metropolitan statistical area).
Trails at Creekside is a class A+ multi-family property built in 2014. Located within the city of Allen, TX, the property has incredible proximity to major employment centers that are fueling population and job growth. Commute times are just over 30 minutes to downtown Dallas, and the location provides easy access to the entire metropolitan area. Trails at Creekside is located off SH-121 just minutes from some of the largest employment centers in DFW – Legacy West, Legacy Business Park, and the $5 Billion Mile master-planned mixed-use development. These 3 employment centers alone provide employment for an estimated 33,000 professionals, while continuing to draw global corporations such as Toyota (7,000 jobs), JPMorgan Chase (6,000 jobs), and Liberty Mutual Insurance (5,000 jobs) to the area.
The asset is currently ±92% occupied as of close 9/5/2018.
“We are excited about the addition of the Trails at Creekside property to our portfolio” said Ryan Mueller, Vice President Acquisitions at MLG Capital. “Trails At Creekside is a great addition for the fund. The location of Allen Texas has exceptional schools, population growth, and close proximity to great, well-paying, jobs”
- MLG Capital is acquiring Trails at Creekside at an attractive basis per unit. According to data from the Bureau of Economic Analysis, construction costs have risen 25% over the past five years due to labor shortages, greater material costs, higher-end designs, and regulatory issues.
- We aim to stabilize rents and bring to market, as well as enhance management operations over a pro forma five-year hold. Due to higher construction costs and building requirements, competing deals in lease up are currently asking ±$150 more per month than our current rents.
Dallas & Allen, TX Highlights:
- MLG Capital has been in DFW for over 30 years. Currently MLG and subsidiaries own or manage over 9,500 units and over 40 multifamily properties in the DFW area
- DFW is expected to add 130,000 people between the ages of 20-34 over the next 5 years and they will need apartments to live in.
- The City of Allen boasts one of the strongest demographic bases in the DFW metroplex, with an average household income of $146,420.
- Highly educated workforce with over 53% of adults with bachelor’s degree or higher.
MLG Capital is currently on its third fund, MLG Private Fund III LLC*, a $150 Million equity fund that is accepting new accredited investors through Summer of 2018. MLG Private Fund IV LLC is expecting to launch October 1, 2018. The series of MLG Private Funds were formed to acquire, directly or indirectly, a geographically diverse portfolio of commercial real estate. Primarily consisting of Commercial multifamily properties, Industrial, Retail, Office, and other opportunistic opportunities located in strategically identified areas throughout the United States.
Since the inception of MLG Capital in 1987, the firm and entities associated had active, exited, or pending investments of approximately 15.5 million square feet of total space across the United States, inclusive of more than 11,500 apartment units, with exited and estimated current value exceeding $1.5 billion**
MLG Capital’s series of funds target cash on cash yields, quarterly distributions, and appreciation over time for investors. Read more about MLG Capital by visiting our blog: www.mlgcapital.com/happenings
*Offers to sell an interest in an offering of MLG Capital or affiliates will only be made to a qualified purchaser by the delivery of the confidential private placement memorandum and current supplement, accompanied by a subscription document booklet. Please reference MLG Private Fund III LLC Confidential Private Placement Memorandum and current supplements for full details.
**as of 6/30/2018. Value is consistent of disposed of assets as well as the current internal valuation of currently held assets as of 12/31/2017. Values may not have been reviewed by an independent 3rd party and may be internal projections.
Property Information– https://mlgcapital.com/trailsatcreekside/
Investor Relations: Kathleen Pecard, Investor Relations Manager, Kpecard@mlgcapital.com