Rodriguez says the company chose the market for a number of reasons including: a strong impediment to market entry; strong development restrictions limit competition; strong occupancy rates for competing class buildings; cash-on-cash return met the company's investment criteria; and strong job growth potential.
The Creek Side facility is only a few years old. Its tenants include international technology companies Artemis International Solutions Corp., Mentor Graphics and Agere Systems. Rodriguez says the fund is intended to provide a current yield of 8% to investors and have the potential to double investor money.
According to Rodriguez, Brass is looking for other investments in Colorado. "We are looking for income-producing assets with value-add potential," he tells GlobeSt.com. "Specifically, we are pinpointing under-performing assets in submarkets and asset classes that have not fully recovered from the downtrend of 2000 and 2001."
The purchase was made through the Brass Real Estate Fund 7, a Texas limited partnership that is raising $25 million to $350 million. Investors in previous funds include high-net worth individuals, corporations, trusts, partnerships and institutional investors. The largest investor in the Brass Funds is the Rodriguez family.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
