We are excited to formally announce the pending sale of Palm Aire! This project was purchased for 11.2 million in March 2017. It is now under contract for sale for 14.65 million and scheduled to close by the end of July. The buyer’s earnest money has gone hard and we have passed the due diligence period!
In addition to the 3.45 million of gross value generated, investors have also been receiving monthlydistributions (at an 8% annualized rate of return) throughout the hold period. We have two new deals lined up to roll these gains into.
This sale is part of a systematic strategy to build value and protect cash flow while seizing the opportunity to increase an asset’s quality while encompassing diversification. Part of the attraction on this purchase was Palm Aire’s long-term assumable loan. As we were anticipating rising interest rates, we cleverly locked in very favorable financing thereby attracting premium prices in a more aggressive market.
This incredible return will catapult a number of the participating investors into our Golden Circle Program. Golden Circle Investors now have the opportunity to join the DSW team in Moab, Utah later this year for a weekend of fun, networking and educational events.
CONGRATULATIONS! It is never easy to take risk no matter how long you have been investing. Those of you who participated in this deal made a wise choice for you and your families’ financial future and we look forward to doing it again on the next deal!