Economies of Scale
Gateway Crossing is just a 10-minute drive from Heritage Square, our 183-unit Class A multifamily property acquired in May of 2025. Both properties are professionally managed by the same experienced team, giving us immediate leverage across operations, marketing, staffing, and vendor relationships—allowing for reduced costs and optimized performance across a 340+ unit portfolio.
Focused Capital has identified Gateway Crossing as a high-conviction opportunity with strong fundamentals and built-in operational advantages.
Strategically located in the Louisville MSA, Gateway offers immediate scale, low-risk debt, and long-term upside. With stabilized performance, shared management infrastructure, and proximity to major employers and retail, this asset delivers the ideal balance of income and growth for accredited investors.
Exceptional Pricing Advantage
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Acquiring at $23M ($143k/unit including premium office, ~$140k/unit residential units only)
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Significantly below replacement cost ($160k-$180k per unit)
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Acquiring at a cap rate of ~6% -- Typically newer-built properties trade around ~5% cap rate
Strong Cash Flow & Appreciation Potential
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Projected IRR: 15%
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Equity Multiple: 2.0x - 2.44x
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Strong Avg. Cash Flow to Investors: 7.5%
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Louisville MSA has averaged 3.5% rent growth prior 2 years, 2025 on pace for 4%+ rent growth, outpacing national average of 1.0%
Superior Financing Terms & Tax Advantages
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Assumable Fannie Mae debt secured at an exceptionally low 3.53% fixed rate for 7 more years
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Minimal interest rate exposure projected weighted-average in low 4% range, offering unmatched security
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Tax Abatement in place currently, phasing out over 7-10 years
Exclusive Economies of Scale + Optimized Management
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Uniquely positioned with 340+ units under consolidated management in the immediate vicinity
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Proven professional management team already in place
