855 East University Avenue, Las Cruces, NM, 88001, US

Casa Bandera

Asset Description

Jones Lang LaSalle Americas. Inc. or its state-licensed affiliate has been exclusively retained to offer an opportunity for qualified investors to purchase the fee simple interest in Casa Bandera (the “Property”). Located in Las Cruces, New Mexico, Casa Bandera provides investors an opportunity to acquire a well-maintained class “A” asset consisting of 232 units. Positioned along University Avenue in the heart of the city, Casa Bandera sits just one block east of Interstate-10 and just over one mile from both Interstate-25 and Main St./SH-70. This ideal location places residents adjacent to two of the largest economic drivers in the region, the New Mexico State University and the Las Cruces Convention Center, and just over one mile from Memorial Medical Center. Completed in 2002, Casa Bandera presents the opportunity for ownership to increase effective rental rates by implementing an interior renovation program as the Property features 100% “classic” units. The Property is in excellent physical condition as current ownership has invested nearly $375,000 of capital into the asset including LED lighting upgrade, adding a dog park, recoating the pool deck, restriping the parking lot, clubhouse décor and paint, new fitness equipment, exterior paint and repairs to railings and patio posts, and a rear fence.

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Attributes

Number of units

232 units

Occupancy

98.7%

Year built

2002

Building area net

21,052 m²

Land area gross

5 ha

Media

Investment Highlights

Exceptional Asset Positioning in Market with Strong Multifamily Fundamentals

The Las Cruces market enjoys strong fundamentals ensuring strong current and future property performance. Over the last 5 years, since 2019, average effective rent growth for the market has been 7.67% with an average occupancy of 96.1%. The Las Cruces market has seen very little conventional new construction with only 1,923 units being delivered in the past 23 years. Outside of a newly delivered 162-unit asset which is completing lease-up currently, the last delivered property was in 2018. This bodes extremely well for the existing product and ensures well-positioned assets such as Casa Bandera will continue to experience strong property performance and supports interior upgrades and enhancements.

100% of units in Classic Condition presents outstanding Value-Add Opportunity, $231 below comps

Casa Bandera provides new ownership the opportunity to achieve healthy rent premiums to bridge the $231 gap with the rental comparable by completing interior renovations. Potential upgrades at the Property include:

• Stainless Steel Appliances

• Resurfaced Countertops

• Faux Wood Flooring

• Upgraded Lighting and Fixtures

• Tile Backsplash

• 2” Wood Blinds

Further upside includes the addition of covered parking, repurposing or leasing the vacant 1,830 SF commercial space, and enhancing the pool and outdoor grilling areas.