#520: Inside the Making of a $30M Build-to-Rent Community

Denver Investment Real Estate

Want to know how a first-time build-to-rent community generated 20% higher rents than projected?

This game-changing project in Jenks, Oklahoma not only delivered on time and on budget during the chaotic post-COVID supply chain crisis, but also outperformed every metric in its underwriting except interest rates. The result? High single-digit to low double-digit cash-on-cash yields for investors.

Ryan Watts, co-founder of Red River Development, breaks down how his team turned a $30 million investment into a lucrative 138-home community that’s now generating strong distributions. With five successful build-to-rent projects under his belt, Ryan shares invaluable insights from his company’s very first development.

Discover:

1. The unconventional zoning strategy that won over both city officials and residents
2. How Red River accurately projected rents for a brand-new product type in the market
3. The refinancing approach that allowed Red River to start rewarding investors quickly

Ryan’s step-by-step walkthrough of the entire process – from land acquisition to stabilization – provides a masterclass in build-to-rent development. Whether you’re an aspiring developer or a curious investor, this episode offers a look into the inner workings of a highly successful real estate venture.

Don’t miss this deep dive into a build-to-rent case study that proves the immense potential of build-to-rent.

https://youtu.be/0e-OaBFTlAI

Timestamps

(01:29) Buying the Land and Navigating the Zoning Process

(05:25) Completing the Project on Time and On Budget during COVID

(05:55) Exceeding Rent Projections and Generating Cash Flow

(12:06) Future Plans for the Community and Potential Sale

Links from Podcast

Interested in learning more about Red River?

Schedule a call with our team here!

Check out their website here

Who is Red River?

Red River Development is a vertically integrated real estate development company with a focus on developing and operating class-A build-for-rent residential communities under the management brand: Trulo Homes. A unique and growing space in the housing market, luxury rental communities provide the comfort and privacy of single-family homes with the convenience and amenities of high-end multifamily rentals. Red River sees extensive market opportunity in the Build-To-Rent (BTR) space throughout the Southern and Midwest U.S. with a substantial pipeline of developments planned to break ground later in 2024 and beyond. Red River is headquartered in Dallas, TX with a second office in Tulsa, OK.

Disclaimer: This podcast provides educational and informational content only. It does not constitute personalized financial, legal, or tax advice.