New Real Estate Crowdfunding Offering For Downtown Nashville Multifamily Development With 23.9% Target Return

CrowdStreet has just published a new, on-the-making real estate investment offering (view more offerings), Park Place Nashville, to develop a community of innovative multifamily properties located in the heart of Downtown Nashville. The deal has an attractive 23.9% target annual return.

The deal sponsor is looking to raise $26 million in equity to meet the capital obligations required to buy the property that aims to comprise three towers. The project has 1.4 million square feet and more than 800 rental units in its three towers.

The deal sponsor has already obtained the project's entitlements. The property would sit atop one of Nashville's highest elevations, within walking distance of the city's job areas, downtown entertainment venues, riverside park and Broadway entertainment district.

Park Place Nashville's proposal consists of a 36-story north tower with 445 apartments and 18 penthouses, an 18-story middle tower with 280 hotel rooms and a 32-story south tower with 393 apartments and 18 penthouses.

Each tower will dedicate an entire floor to residential facilities, such as a fitness center, work lounge, game room, full-service entertainment kitchen, pet spa and extra space for areas like a recording studio or virtual golf range. Each building's rooftop will also have a pool, lounge seats and cabanas.

Furthermore, each tower has a considerable amount of retail space on the ground floors, which will serve as an essential place-making function for the project.

Investment Highlights: This opportunity will span two phases - pre-development and development. Pre-development entails acquiring all necessary approvals and entitlements for land to be repurposed for its highest-and-best use, and this phase often has some of the largest upside potential for a project. 

Upon the funding of the second phase, the sponsor will endeavor to offer investors in the pre-development phase a step-up in the land basis (currently projected at $12.5 million). This profit, resulting from the increase in land basis, is expected to produce a distribution amounting to 76% of investor’s initial equity investment in month nine of the hold period.

• Minimum Investment: $25,000
• Target Investor Internal Rate of Return (IRR): 23.9%
• Target Equity Multiple: 2.0x
• Target Average Annual Cash Yield: 7.1%
• Investment Term: 6 years

View offering details on CrowdStreet

Deal Sponsor: Taurus Investment Holdings is a real estate private equity business that operates worldwide. The firm has more than 40 years of expertise as a general partner, investor and operator and is currently working in 15 markets across the world.

Taurus has built a fully integrated real estate operating platform oriented toward maximization at all stages of the investment life cycle since its inception. The company's strategy is to develop investment projects that target properties with inherent long-term value that it can acquire at attractive prices relative to replacement cost and that can be renovated and developed to increase cash flows.

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Photo: Courtesy of CrowdStreet