Disposition Milestone For Patriot Opportunity Fund (Fund I)

After 53 months of ownership, we couldn’t be happier with the final results—but we’re not surprised it worked out this well. We knew Elk River had strong potential, and by sticking to our strategy and staying hands-on, we transformed this asset while keeping investors in a winning position from start to finish.

How The Project Played Out

• Total Profit from This Property: $1,242,986 (includes operational cash flow and sale proceeds)
• Equity Multiple: 2.30x (every $1 invested returned $2.30)
• Extended Rate of Return (XIRR): 25.98% (reflects the annualized return over time)

How We Created Value

This 120-pad community in Charleston, WV had strong demand for affordable housing but needed hands-on management to reach its full potential. Here’s what stood out:

✔ Easy access to the airport and major highways – Residents could get where they needed to go quickly, making it a practical and attractive place to live

✔ Reliable city water and sewer – No aging septic systems to maintain, no dealing with unpaid utility bills
✔ High occupancy with untapped potential – Most units were filled, but rents were below market, and collections needed improvement

Once we took ownership, we got to work.

✔ Paved the roads to improve safety, reduce maintenance headaches, and make the community more inviting
✔ Cleared out 30 deteriorating, abandoned homes, making room for a cleaner, better-kept neighborhood
✔ Adjusted rents to reflect market value—while improving collections and keeping homes filled
✔ Brought in professional management to replace outdated, hands-off ownership that had let things slip through the cracks

The result? A stronger, better-run property that exceeded expectations with project highlights of close to a 26% IRR and making $2.30 for every dollar invested.

Elk River was a prime example of how a well-executed strategy can unlock hidden value in a property. By taking a hands-on approach, making strategic improvements, and ensuring strong management, we transformed this community into a thriving, high-performing asset. The results speak for themselves—exceptional returns for our investors and a revitalized property for residents. This success reinforces our commitment to identifying and optimizing undervalued assets, and we look forward to creating similar opportunities in the future.

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