Cumberland Holdings announced the acquisition of Modera Apartments in downtown Concord, California on December 28, 2011.
Modera is walking distance to BART, 2.7 million square feet of office space, and several retail and entertainment amenities. The property is a 40 unit secured building with one and two bedrooms built in 1970. Amenities include a pool, laundry facilities, and covered parking.
The purchase price for the property was $3,825,000 which was capitalized with private equity and a mortgage of $2,700,000 arranged by HFF and Capital Source.
The property, previously known as Casa Linda, was renamed Modera Apartments with a comprehensive re-branding strategy focused on internet marketing. Enhancements included: new landscaping, exterior building upgrades, signage, renovation of the leasing office, and unit upgrades.
In March 2015, Modera Apartments was sold for $7.35M. Modera's strong location and strategic value add plan generated significant rent growth from $945/unit to $1415/unit. Over the 39 month ownership period, Cumberland's investors received a 211% return resulting in a 30% IRR.