Walnut Trails Apartments

Walnut Trails Acquisition Overview

J + G Companies is pleased to present Walnut Trails Apartments, a 210-unit investment opportunity located in Elkhart, Indiana. Walnut Trails is a well-maintained, brick and vinyl community with consistent historical performance and upside potential featuring an attractive mix of studio, one, and two-bedroom apartment homes averaging 815 square feet.

This acquisition represents an opportunity to secure a cash-flowing, well-located asset with potential to yield immediate returns and long-term upside. Our strategy is to leverage our operational expertise to optimize performance, enhance income, and maintain high occupancy. With minimal capital expenditures required and strong market fundamentals, we view this property as a stable cash flowing investment with growth potential.

This investment opportunity is structured with a purchase price of $23.8 million, supported by a $16.875 million assumable loan and an equity raise of $9.77 million. The offering will be conducted under Regulation D, Rule 506(c).

Why We Like This Opportunity:

• Immediate Cash Flow – We believe the property will produce day-one distributable cash flow, ensuring immediate income generation for investors.
• Attractive Value – The property is being acquired at a cap rate above market averages, compared to other opportunities in today’s environment.
• Low-Rate Assumable Debt – Assumable Fannie Mae loan at a competitive 4.85% interest rate with an interest‑only period through August 2027, enhancing near‑term cash flow, boosting leveraged returns, and limiting exposure to rate volatility.
• Proven Value-Add Opportunity: Current ownership has invested $2.25MM since 2022 (roofs, flooring, unit interiors, common areas, concrete/asphalt). 26 units already upgraded to the premium finish level, generating proven $150/mo premiums.
• Desirable Residential Location — East Elkhart, quiet neighborhood feel, pool/clubhouse/business center
• Supply-Constrained Market – Elkhart has a documented ~5,000-unit housing shortage, and there has been no new apartment construction in the past 10 years in this submarket.