Patriot Sells $22M Portfolio of 8 Mobile Home Communities Realizing 29.77% IRR for Investors
We are extremely pleased to share with you that Patriot has successfully completed the sale of its 8 Mobile Home Community Portfolio in the Pittsburgh, PA metro area for $22M, resulting in exceptional returns for investors and 29.77% IRR (investor level) over the lifetime of the investment.
The assets were acquired and operated by the Patriot Opportunity Fund:
- 8 Mobile Home Communities, located in Pennsylvania.
- 513 Lots sold for $42,885/Lot
- Closing Date: July 14th, 2023
The sale has generated $2.886M in profits for investors, a 29.77% IRR and a 1.73x Equity Multiple on the 3 Year and 2 months hold period. An additional $4.262M of capital was returned to investors.
Investment Returns
- Total Cost Basis: $13,096,173
- Total Value Upon Exit (3 years and 2 months): $22,000,000
- Project Level Profit: $7,895,283
- Investor Capital Returned: $4,262,696
- Profit Distributed To Investors: $2,886,864
- Investor Equity Multiple (MOIC): 1.73x
- Investor Level IRR: 29.77%
Operational Performance
The assets were acquired by Fund I in 2020 & 2021 for $13.096M. Over the 3 years and 2 months of ownership, our operations team drove revenue growth and asset enhancement and executed our original business plan leading to the increase in value. We believe this is the right time to sell these assets as we have maximized their value via our operational plan and because we received a strong offer to sell all eight assets to the same buyer at this time.
We are extremely pleased with this result, and to date, Fund I has exceeded our initial investor return projections; we reached our 5-year goals for projected asset values in just over 3 years. We anticipate successfully exiting the remaining assets in Fund I by year-end.
Next Steps: Interested To Learn More or Invest In Commercial Real Estate?
If you would like to learn more about our Open Funds or invest in Commercial Real Estate please contact our investor relations team by completing the New Investor Form here (it will take less than 2 mins).
