HIGH POINT TOWERS

Make money when you buy...not when you sell.

It is said that you make money when you buy property, not when you sell, and this is textbook.

We have secured these two 305,135 square feet eleven-story towers on 13 acres of land in prime San Antonio, Texas, after a lengthy Chapter 11 Bankruptcy for only $40 per square foot, of which $30 per square foot will be reinvested in the project. The replacement costs run at approximately $500 per square foot to give some indication of the value created on acquisition.

These opportunities only happen after significant disruption in the market, a symptom of the COVID lockdowns, and the devastating impact work-from-home culture has had on demand for office buildings.

So why is this an opportunity?

The business plan involves consolidating the remaining tenants from the first Tower into the second tower (Tower Two) to improve occupancy. Tower TWO can then be speed leased with medical or office tenants at discounted rates to undercut the market.  Tower ONE will then be converted into 231 micro-residential or multi-family units. The remaining portion of land that makes up part of the 13 acres included in the transaction offers potential for future development. The towers are strategically located near the South Texas Medical Centre and the University of Texas Health Science Centre both combined are the most significant employers in the city.

Partnership

Partnering with an experienced real estate group is key to a highly profitable exit and the partnership headed up by Donny Cohen and Avi Greenbaum, both with extensive experience in the rehabilitation of distressed assets, will ensure efficient conversion and management of the project. The entire project will be done in partnership with a Top 10 US Bank which has reinvested $30 per square foot requiring an initial payment of only $10 /sf for the acquisition of the entire land and Towers. The remaining $30 /sf will only be required to be paid after the project has been completed.

The projected ROI for investors ranges from 20% to 25% per annum and the timelines are estimated to be 3- 5 years conservativly.