Investors Management Group, Inc. (“IMG”) is currently structuring the acquisition of The Eclipse, a 175-unit apartment community in Duluth, Georgia (Atlanta MSA).
The Company is raising $9.9M from accredited investors via a 506(c) securities offering. An investor can participate as either a Limited Partner or as a Tenant-In-Common. The structure will accommodate 1031 exchanges.
IMG is a private real estate investment firm headquartered in Woodland Hills, CA focused exclusively on the multifamily sector. The Company’s leaders have participated in over $5B in multifamily real estate transactions totaling more than 70,000 units. IMG has a history of acquisitions spanning 20+ years in the Southeastern U.S. The Eclipse marks IMG’s 8th acquisition in Atlanta MSA in this cycle.
MULTIFAMILY INVESTMENT OPPORTUNITY
The Eclipse offers the unique opportunity to purchase an apartment community located in Atlanta’s northeast premier expansion market of Gwinnett County, Georgia, one of the fastest growing counties in the U.S. Gwinnett County has critical benchmarks that IMG targets: forecasted population growth, job creation, investments in infrastructure and technology, and affordability.
ECONOMIC CAPITAL OF THE SOUTHEAST
Where should real estate investors be putting their money? Atlanta, according to Forbes. It ranked among the top U.S metros in 2018 in these key metrics: one-year job growth, three-year population growth (2014-17), one-year home price growth and affordability.
Atlanta was recently ranked the #1 moving destination in the country for the eighth consecutive year (Penske) and #1 Most Affordable Big City (WalletHub, April 2018). It is poised as a top-pick finalist city for the upcoming Amazon HQ2 decision, which could bring $5B construction/50,000 new jobs to Atlanta.
The Eclipse is surrounded by award-winning schools and high-end residential neighborhoods like Sugarloaf and River Club, plus cultural amenities like Infinite Energy Center and the Mall of Georgia. The average household income (5-mile radius) is approx. $71K and is projected to grow 15% by 2022. High-income families are moving to the northern suburbs for the schools and large concentration of jobs, supporting the luxury rental market.
FORECASTED GROWTH IN GWINNETT COUNTY
Located 30 miles northeast of Atlanta, Gwinnett County is home to 120 international HQ firms and is #1 for net migration among Atlanta counties. Within the next few years, the population of Gwinnett County is projected to exceed 1,000,000 people. Notably, Gwinnett’s population growth is outpacing metro Atlanta area as a whole, according to a recent Atlanta Regional Commission report.
Duluth has a 30% higher share of 4 & 5 star apartments compared to the metro as a whole, yet nominal rent levels remain comparatively low. As rents in Atlanta’s urban core continue to increase, renters will push outward to more affordable suburbs.
DIRECT JOB ACCESS, SHORTER COMMUTES
The Eclipse is located within the Gwinnett Place Community Improvement District, boasting 6,049 jobs per square mile (avg), compared to 800 for Gwinnett County as a whole. Residents enjoy faster commutes and back-door access to North Fulton and the I-85 corridor, plus Gwinnett Place- an employment base representing over 1,900 companies and an estimated 24,500 jobs.
The Atlanta metro produces more than 40K college graduates annually, ranking it in the top 10 metros nationwide and ensures a talented workforce to support a growing rental market. The Duluth submarket’s fast-growing population boasts above-average education levels and one of the metro’s lowest unemployment rates.
The Eclipse – 175 Units – Duluth, Georgia
Anticipated Closing: Late October 2018
Anticipated Hold Period: 5 years
Targeted Avg. Cash-on-Cash: 7.7%
Targeted IRR: 14.7%
Targeted Equity Multiple: 1.87%
IMG believes it will achieve its targeted returns by:
1. Capitalizing on organic growth by bringing rents to market levels;
2. Upgrading the interior units to achieve rent premiums;
3. Improving on-site management and maintaining a five-star-rated tenant experience.
To request The Eclipse Offering Memorandum and PPM, contact: Karlin Conklin, Executive VP (971) 888-4010 ext. 104 • firstname.lastname@example.org
All offers and sales of any securities will be made only to Accredited Investors through a Confidential Private Placement Memorandum and any exhibits and attachments thereto (collectively, the “PPM”). This communication is not the PPM, and is not intended nor shall it be construed to be an offer to sell any securities. No PPM will be presented to you unless and until IMG has first been able to validate your status as an Accredited Investor. Prior to subscribing, each investor must receive, read and fully understand the PPM which contains important disclosures, financial assumptions and risk factors, including, but not limited to, those risks set forth in the section of the PPM entitled “Risk Factors”. Each investor must base its decision to invest solely on the PPM, may rely only on the information contained in the PPM and should seek advice based on the investor’s particular circumstances from their own independent advisors. Past performance of IMG-sponsored investments may not be indicative of future results.