Waterton Residential Investment Activity
Waterton Residential Property Fund I, L.P.
Fund I raised $9,270,000 in equity in May 1996 and acquired 1,285 apartment units in five communities for a total cost of $34,513,564 (73% leverage). The fund liquidated in July 1998 in a portfolio sale totaling $40,580,000, providing a 37.4% annual compound rate of return to Investors.
Waterton Residential Property Fund II, L.P.
Fund II raised $14,880,000 in equity in January 1998 and acquired 1,755 apartment units in six communities for a total cost of $66,028,957 (78% leverage). Fund II liquidated November 2002. Investors earned a 26.3% annual compound rate of return over the 4-year period.
Waterton Residential Property Fund III, L.P.
Fund III raised $24,531,000 in equity in December 1999 and acquired a specified portfolio of 2,701 apartment units in nine Florida communities for a total cost of $123,440,386 (80% leverage). All properties have been sold and Fund III was liquidated in August, 2006. Investors earned a 32.8% per annum compound return over the life of the Fund.
Waterton Residential Property Fund IV, L.L.C.
Fund IV raised $31,580,000 in equity in July 2000 and acquired three apartment communities containing 1,018 apartment units at a total cost of $63,163,260 (50% leverage). All properties were sold by March 31, 2004. Investors earned a 7.9% annual compound return on this low-leveraged Fund.
Waterton Residential Property Fund V, L.L.C.
Waterton Residential Property Fund V, L.L.C. was a joint venture with a university endowment fund for which no new equity was raised or invested. Waterton was not the initial manager of Fund V, however was brought in by the investor in January 2001 to liquidate the fund. The seven-property portfolio was successfully liquidated in 2002.
Waterton Residential Property Fund VI, L.L.C.
Fund VI raised $27,100,000 in equity in September 2001 for a pre-specified portfolio of 2,060 units in three Florida apartment communities at a total cost of $194,711,050. All three communities were sold in March 2005. Fund VI made total cash distributions to investors of $75,307,747 over the holding period. Investors earned a 37.4% annual compound rate of return.
Waterton Residential Property Fund VII, L.L.C.
Fund VII raised $94,444,444 in equity commitments in June 2002 and fully invested these proceeds (plus $38,353,000 in tax-deferred sale proceeds) in 16 apartment communities containing 5,494 units, located in eight states at a total cost of $373,714,847 (65% leverage) by September 1, 2004. Ten properties have been sold and Investor return on equity is 21% through September 2006.
Waterton Residential Property Fund VIII, L.L.C.
Fund VIII raised $131,073,235 in equity commitments in August 2004 and invested these proceeds in 14 apartment communities containing 4,658 units, located in 8 states at a total cost of $389,020,938 (65% leverage) by January 1, 2006. One property has been sold, generating a 200% return on equity invested in that asset.
Waterton Residential Property Fund IX
Fund IX raised $332 million in equity commitments in January 2006. The first $139 million of the equity commitments (the "series 2006 commitments") will be invested in eight properties comprising 3,200 units at an aggregate cost of $396 million (65% leverage). The remaining $193 million (the "series 2007 commitments") are currently being invested.