#USA #Georgetown #Machine Investment Group #Rise 120

Machine Investment Group Acquires Rise 120 in Georgetown, Texas

Machine Investment Group (MIG), a prominent real estate investment firm, has announced the strategic acquisition of Rise 120, a newly constructed multifamily property situated in Georgetown, Texas. This acquisition comes as part of MIG's focus on identifying opportunities within distressed and special situations across the United States, particularly in high-growth markets.

Overview of Rise 120

Rise 120 is a modern development comprising 227 rental units and approximately 15,000 square feet dedicated to retail space. Its prime location in Georgetown, a city that has experienced remarkable growth, ensures that it stands out in the competitive multifamily sector. The property is conveniently located just two minutes from Interstate 35, providing easy access to key areas such as Downtown Austin, Round Rock, and significant employment hubs, including large tech companies like Dell and Apple as well as the Domain shopping district.

Growing Market Dynamics

According to recent statistics, Georgetown was ranked as the fastest-growing city in the nation from 2021 to 2023, significantly outpacing the broader Austin metropolitan area. This persistent growth trend highlights the city’s ability to attract a highly educated and affluent population, making it a desirable location for residential investment.

Strategic Timing for Acquisition

MIG's acquisition of Rise 120 is marked by favorable timing; the property was purchased at 30% below the original development cost. This cost-effective acquisition was facilitated by market dislocation and a temporary oversupply of multifamily units in the region. MIG's leadership believes this distress is temporary, given the underlying strong market fundamentals expected to drive future rent growth.

Enhancements and Future Plans

In line with its strategic vision, MIG plans to invest further in Rise 120 to enhance its appeal. Proposed upgrades include adding attractive amenities such as a golf simulator, sauna, and cold plunge, alongside existing facilities like a pool, fitness center, resident lounge, and dog park. Notably, Rise 120 is unique within its competitive set for also offering retail space, which MIG aims to boost through tenant improvements and marketing strategies.

Eric Rosenthal, Co-Founder and Managing Partner of MIG, stated, "While Austin has seen significant overbuilding, we are confident that the multifamily distress is temporary in specific submarkets, owing to the strong fundamentals present in the MSA."

Partnership and Collaboration

This acquisition was made possible through a strategic partnership with Alta Real Estate Partners, a firm that specializes in multifamily investments. Walker & Dunlop played a crucial role by representing the seller during the transaction, ensuring a smooth acquisition process.

MIG continues to focus on opportunities across various property types within emerging markets throughout the United States, emphasizing investments that promise attractive yields and advantageous entry points.

About Machine Investment Group

Machine Investment Group is a sophisticated real estate investment platform dedicated to identifying opportunistic and distressed investments. With a focus on the middle market, MIG is recognized for its effective deal-making capabilities and partnerships, differentiating itself through a commitment to rigorous risk assessment and quality operational oversight. Since its inception, the firm has overseen investment vehicles totaling approximately $2.4 billion, reinforcing its position as a trusted partner in the real estate sector. For more details, visit Machine Investment Group.