Timberwalk Apartments Direct Investment

Direct Investments, Opportunities

The JKAM team is excited to share our newest investment opportunity Timberwalk Apartments, a 300 Unit Multifamily value add project in booming Northwest Houston market. 

Due to nearby ownership / natural portfolio fit and strong local relationships, JKAM’s operating partner was offered first look at Timberwalk Apartments and secured the asset off market before it received wider attention. The Dallas-based seller has only one other property in Houston and neglected management, allowing Timberwalk’s rents to fall over $100 behind similar next-door neighbor, Bear Creek Crossing. 

Key Investment Details

Preferred Return: 9% | Projected IRR: 15-18%

Projected Equity Multiple: 1.55x | Projected Hold Period: 3 yrs 

Monthly Distributions

Investment Highlights

Investment Overview:

  • Timberwalk is a 300-unit, 1983 vintage multifamily property in the Bear Creek Village submarket of
    Northwest Houston.
  • Built in 1983, the property has a 60% / 40% mix of 1-bed and 2/3-bed plans, averaging 717 square feet
    at $1,031 monthly rent. Out-of-town seller has neglected upkeep, creating an opportunity to remedy
    deferred maintenance and bring rents to market rate.
  • Bear Creek is a quality mid–upper workforce area, with extensive single family residential as well as
    national retail on Addicks-Salsuma Road (TX-6) / nearby Copperfield. It is conveniently located to
    Houston’s major employment centers, with access via Northwest Freeway, I-10 / Katy Freeway, and
    the job-rich FM-1960 corridor.
  • Per YardiMatrix, the submarket has seen 12% rent growth in the past year. Future rent growth
    is projected at over 4% annually through 2025, for over $200 over the projected three-year hold.
  • Per Neighborhoods.com, Median Home Sales in Bear Creek Village are $231,250. Currently, listed
    prices are $225k to $340k
  • Timberwalk offers strong value-add returns, targeting 16.3% net IRR / 6.3% average cash-on-
    cash (over 3 years).

Business Plan:

  • JKAM’s Operating Partner will renovate all units: 75% to a premium finish for $103 rent
    increase, and 25% to an elite (stainless / granite) finish level for a $203 premium. This
    program is well-capitalized at $11,806/unit capex spend, and well-supported by next door
    Bear Creek Crossing, which is achieving $100 higher rents than Timberwalk despite inferior
    units.
  • In addition, washer/dryers will be installed in all units. 60 units will receive new connections.
  • Reserved parking (102 spaces @ $30/month) will offer additional revenue potential.
  • Amenity upgrades will include fitness center, poolside grills / pergola, signage, business
    center, repurpose derelict sport court, exterior paint and remedy deferred maintenance.

Submarket Jersey Village / Salsuma:

 

  • Powerful rent increases of +13.1% T12, with Y1 rent growth projected at 6% (Yardi Matrix), or about $211 of organic rent growth through our investment hold period (in today’s dollars), with annual growth rate elevated over 4% through 2026.
  • Location in Bear Creek offers a compelling combination of employment access, affordability, and suburban lifestyle for a solid mid / upper workforce resident base. Median home sales are $231,500, with listed prices ranging from $225,000 to $340,000. Nearby new / 2000s build apartments rent for $400–700 higher (Edge at Langham Creek, Somerall Station, Yorktown Crossing).
  • Walkable to Local Retail Timberwalk residents enjoy unique proximity and walkability to nearby retailers, restaurants,
    and family attractions including farmers market, roller rink, IHOP, Dairy Queen, and Krispy Kreme.
  • George Bush Park / Bear Creek Pioneers Park only 12 minutes from over 9,954 acres (62 square miles) of outdoor recreation.

 

Make Reservation

Steps to invest:

  1. Make A Reservation
  2. Schedule A Call
  3. Verify Accreditation
  4. Review & E-sign Docs
  5. Fund

Investor Timeline:

  1. Reservation Deadline June, 23rd
  2. Funding Deadline June,  24th
  3. This offering has limited space and will be on a first come first serve basis.