Charleston Shopping Center
Las Vegas, NV
$3.8 MM
Acquisition based on a 6% Cap Rate, but quickly jumped to 6.9% in 2 months due to lack of proper management by previous owner. 6 months later, National Anchor Tenants and three "Mom-and-Pop" tenants were brought in, with slight façade upgrades by year end the property was performing at 8.4% Cap Rate with estimated market value of $5.35 MM.
41% increase on ROI within 1 year time-span.
Mixed-Use Office/Retail Building
Downtown, Los Angeles
$11.2 MM
Acquisition based on 4.6% Cap Rate and $432 sq/ft. Everybody heckled at how expensive the property was bought for. The team at Royal Capital Investments had an ace up their sleeves however. There was an abundance of parking on the top two floors of the structure. They brought their development team into the picture and converted both floors of parking into more retail space. They in turn built another superficial roofing floor to accommodate for parking with still some ample extra parking as required by the city. Combine that with proper management, overdue increases in rent, and new tenant leases. After 1 ½ years of intensive rehab, they refinanced the property pulling out ALL of their liquid investment! Now the building cash flows with a 1.45 DSCR providing the Investors with a much lower sq/ft cost price and a property that significantly cash flows without any equity investment!
Independent Gas Station
San Jose, CA
$2.27 MM
An independent brand gas station was purchased on a 67,000 sq/ft lot. Arco was brought with an AM/PM, a 130 ft. tunnel was built with a state-of-the-art, conceptually ahead of its years Flex-Service Car Wash. This new concept allows for a Full-Service Car Wash as well as a Fully Automated Exterior Wash, depending on how much time the Consumer has or how much money the Consumer wants to spend. Royal Capital Investments incorporated their years of experience in establishing a profit maximizing and expense mitigating system. This Auto Center was sold 2 ½ years later for $7.1 MM.
Vacant Land
Palmdale, CA
$6.5 MM
Property was bought by one of the Principals of Royal Capital Investments while in the area looking at another property. He liked the potential of the property so much that the following week he visited the owner of the property with a cashier's check, Notary, and lawyer and bought the property on site. Just recently the property was entitled to provide for an Auto Center and Shopping Center. Furthermore, the property is underway of being subdivided so as to maximize return. Recent appraisal has valued the property at $7.8MM before subdivision and all this in only 8 months time.
Concrete-Boom Business
Encino, CA
Royal Capital Investments did a Joint Venture with an Investor in starting a Boom business for concrete. The company initially started out contracting out to projects controlled by Royal Capital Investments and within 15 months, there was a complete return of investment with 6 Booms paid for free-and-clear.
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