Aspire

Aspire is in the Inspiration Hills neighborhood of Northwest San Antonio and benefits strongly from San Antonio’s ongoing population growth. San Antonio’s steadily rising 5.8% job growth is easily capitalized by the property’s central location. Aspire has quick access to major highways, Loop 410 and Interstate Highway 10, which provide access to employers such as H-E-B (145,000 employees), USAA Headquarters (36,000 employees), Valero World Headquarters (9,743 employees), and South Texas Medical Center (30,000+ employees).

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Beginning in July 2023, LSC started tracking this deal. Lone Star was unwilling to meet the seller’s pricing expectations in August when another firm was awarded the deal. Ultimately, the deal fell out of contract with the previous buyer, so LSC became the buyer of choice due to $100M+ in transaction history with the Berkadia Texas Investment Sales team. A $1M discount to the original purchase price was granted given the seller’s priority of having a buyer who can perform.

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Since 2018, the owners of Aspire have completed ~$5M of major renovations, leading to substantial rental increases and 93.5% average occupancy over the past 27 years (Axiometrics). 46 units are classic while the remaining 289 units have minor upgrades, including updated fixtures, black appliances, and refreshed paint.

LSC will push Other Income through the implementation of a bulk Wi-Fi package, generating $35/unit in net income.

5-year fixed rate debt provides the ability to hold for five years and exit the loan with no prepayment penalty.