Passco One Riverwalk DST

Investment Description

On October 31, 2023, the Trust acquired a 303-unit multifamily apartment complex known as One Riverwalk (the “Project”) located on approximately 3.35 acres of land in Knoxville, Tennessee. The east building of the Project was constructed in 2019, and the west building of the Project was constructed in 2020. The Project offers a mix of studio, 1-bedroom and 2-bedroom units with an average unit size of 884 square feet. The Project has a total of 461 parking spaces, including 8 handicap parking spaces, and 8 electric parking garage spaces. 209 parking spaces are provided via a city-owned parking deck across E. Blount Ave. As of October 24, 2023, the Project was leased at an occupancy rate of approximately 96.37%.

Business Plan

The principal objectives of the Trust are to (i) distribute to the Holders rent, after payment of debt service and expenses, at varying levels of the purchase price paid by the Holders for the Interests during the first 8 years of ownership, (ii) amortize debt during a portion of the ownership of the Project and (iii) prepare the Project to be sold in approximately 8 years. There can be no assurance that any of these objectives will be achieved. See “Risk Factors.”