KCD LTD - Your Direct Path to Private Market Success

Lakeside Houston Value-Add

Texas-based sponsor with experience across various Texas submarkets, including Houston, is acquiring and continuing an unfinished renovation program on a 296-unit, 2001 vintage multifamily property in Houston.

Urban Core Redevelopment:
Downtown Dallas Office-to-
Residential

Sponsor is transforming a 15-story, 1980s office tower into a 220-unit Class A multifamily property. Located in the heart of Dallas, the project taps into strong demand for urban living while revitalizing underutilized office space.

Sponsor’s Offering Overview

Key Information

Minimum Investment 25 000 USD

Targeted Hold Period 4 Years

Location Houston, TX

Minimum Investment 25 000 USD

Property Type Multifamily

Offer Deadline October
8th, 2025

Investment Due Date October
10th, 2025

Initial Target Distribution* Q1 2026

SD-IRA Investments No

Project Capitalization

Total Capitalization 49 059 876
USD

Total Debt 32 304 728
USD

Total Equity 16 755 148
USD

Highlights

• Proven Rent Premiums Through Renovation Program

The previous owner, as well as comparable nearby properties, have already demonstrated rent premiums from similar value-add upgrades. Pegasus plans to renovate 108 of the 168 remaining unrenovated units, elevating them to a premium finish. Additional improvements include yard patios and operational efficiencies managed by their in-house property management firm, Trinity Residential. The prior owner’s renovations achieved an average rent premium of $165 per unit, per month (as of 6/18/2025). Pegasus expects to replicate these results, supported by rent levels at other upgraded properties within the submarket. See Offering Memorandum for detailed rent comps.

• Limited New Supply, Strong Demographics, and Prime Location

There are no active multifamily developments under construction within a 3.5-mile radius of the Property, and only two projects are in the pipeline, according to RealPage Market Analytics. Within a 5-mile radius, only 1,007 units are under construction (0.8% of existing inventory). The Property benefits from strong local demographics, with median household income of $86K at the Property and $100K within a 1-mile radius. Nearby home values average $450K+, with some new builds reaching $2.25M. Strategically positioned near Houston’s “Inner Loop,” the Property offers convenient access to major employment hubs (Texas Medical Center, Uptown/Galleria, Westchase, Greenway Plaza), as well as retail (Meyerland Plaza, West U Marketplace), entertainment (Galleria, Rice Village, NRG Park, Hermann Park), and higher education institutions (University of Houston, Rice University, Baylor College of Medicine, among others).

• Assumption of Attractive Fixed-Rate Debt

As part of the acquisition, Pegasus will assume the existing loan on the Property. The debt carries a blended fixed interest rate of 3.7%, a 30-year amortization schedule, and matures in April 2030. Given today’s financing environment, securing such favorable debt terms independently would be highly challenging.

Lakeside Houston Value-Add

LocationHOUSTON, TX

PROPERTY TYPEMULTIFAMILY

STRATEGYVALUE-ADD

View details

Lakeside Houston Value-Add

LocationHOUSTON, TX

PROPERTY TYPEMULTIFAMILY

STRATEGYVALUE-ADD

View details

Lakeside Houston Value-Add

LocationHOUSTON, TX

PROPERTY TYPEMULTIFAMILY

STRATEGYVALUE-ADD

View details

Lakeside Houston Value-Add

LocationHOUSTON, TX

PROPERTY TYPEMULTIFAMILY

STRATEGYVALUE-ADD

View details

Crowd Street News