1031 eligible
Solo 401K, SD-IRA, QRP
506c for Accredited Investors
1031 eligible
Solo 401K, SD-IRA, QRP
506c for Accredited Investors
This opportunity is currently closed but you can get on the waiting list in case new spots open up. Submitting your docs adds you to the waiting list.
Request Townhomes at Equinox on Lincoln
investor Kit
Investor Presentation (PDF)
The live presentation replay
Underwriting Walkthrough Video
The Investment Summary
The FAQ Document
Doing a 1031 Exchange Video
An accredited investor, in the context of a natural person, includes anyone who:
Has earned income that exceeded $200,000 (or $300,000 together with a spouse) in each of the prior 2 years and reasonably expects the same for the current year,
OR has a net worth over $1 million, either alone or together with a spouse (excluding the value of the person's primary residence).
#1 Best Performing Small City 2021, 2023 & 2024 (Milken)
It is extremely hard to rank #1 for best small city a single year, let alone three out of the past four years. It’s mind boggling! The city is growing like gangbusters and has crazy good income and population growth.
Following Successful Build-to-Rent Blueprint
This project is in the same metro, has a very similar community and building design, and the same target renter as Equinox Idaho Falls, our massively successful and profitable Build-to-Rent townhouse project.
Increasingly Affluent Neighborhood
Ideally located in the Idaho Falls Northeast Submarket, an increasingly affluent middle class micro neighborhood with strong income, population and job growth. One of the lowest unemployment rates in the U.S.
Projected Returns (Class B2, 4 Year Hold)
23%
Avg Annualized Return
18.4%
IRR
1.92x
Equity Multiple
7%
Pref
23% AAR
Avg Annualized Return
18.4% IRR
Internal Rate of Return
1.92x EM
Equity Multiple
7% Pref
Preferred Return
Virtual Tour of Our Previous Idaho Falls Project
“Grocapitus is a breath of fresh air. They do things differently and way better than their competitors. Thank you Neal for being an amazing leader to your team! I couldn’t be happier with the results so far. Looking forward to investing more in the future.”
SARAH L., Grocapitus Investor
Top Reasons We Love This Opportunity
A Long-Dated and Personal Project
Neal and Anna have invested $2,300,000 of their personal cash into the project since July 2023 and have taken full risk getting the project to nearly shovel-ready
Proven Profitable Business Plan
This project improves on the development of a proven, highly successful and profitable townhouse community
Metro with explosive growth
A super star metro with stellar population growth and a thriving economy
Build-to-Rent
Investor-friendly new construction significantly reduces maintenance, increases tenant desirability, and comes with warranties and guarantees
Experienced BTR development team
A history of success on construction projects
The Perfect Metro for New Construction
Idaho Falls has low construction costs, low property taxes, and low insurance costs, leading to a relatively higher NOI than other markets.
Worst time EVER to buy a home
More people are forced to become tenants in the rental market
Rents do really well in times of high inflation
Historically, rents rise faster than expenses
An ENTIRE generation of potential home owners may NEVER be able to buy a house
“The real estate landscape in Idaho Falls has shifted dramatically in the past three years, and we have witnessed a significant increase in demand for rental properties. Developers such as Grocapitus/Mission 10K are a welcome addition… it is my pleasure to express support, on behalf of the City of Idaho Falls, for the residential project Grocapitus/Mission 10K is constructing.”
Mayor’s Office of Economic DevT, City of Idaho Falls
The Townhomes at Equinox on Lincoln Project
Townhomes at Equinox on Lincoln is a 92 unit townhome development with forty 2-Bed, 2-Bath units and fifty two 3-Bed, 2-2.5-Bath units. Each townhome unit is 2-3 stories with attached garage parking. The design features an open-living concept with large spaces for comfortable living.
By using stick-built construction we are able to complete the project extremely quickly using a simple, proven method that is relatively inexpensive.
Townhomes at Equinox on Lincoln has been designed to be investor-friendly while meeting the needs and desires of tenants, including:
Luxury flooring and stainless steel appliances
Master bedroom with a walk-in closet and a private bathroom with shower
1-car attached garage with private driveway and abundant guest parking
Community amenities include a common a playground, BBQ area, and a fenced in dog park and dog run.
“I have invested in a couple of opportunities with Grocapitus. One of them is a multifamily property, which has been performing superbly, and way better than the initial predictions. The second one is a new construction project, which is on-time, even during the COVID-19 pandemic. And the marketing material that the team has put together to lease these new units is top-notch. Awesome job by Neal and his team in managing the properties and consistent communication with their investors.”
AVINASH P., Grocapitus Investor
Why Real Estate Investors Love Idaho
Urbanites are saying goodbye to big city life in favor of less crowded, more affordable inland cities and towns in the U.S. Nowhere is this trend more evident than in Idaho, where the housing market is booming and out-of-staters are pouring in to take advantage of the state’s relatively affordable cost of living without the big-city traffic, making it one of the fastest-growing states in the country.
For businesses, Idaho has a vibrant entrepreneurial culture with low taxes, a balanced state budget, and a business-friendly regulatory environment.
It’s no wonder it has garnering numerous top rankings, including:
#1 Best State for Economic Momentum – FFIS, 2022
#1 Growth State Driven by Migration – Tax Foundation, 2022
#3 State Prepared to Withstand Economic Stress – Moody’s Analytics, 2022
#3 Best State Overall – U.S. News
#2 Best State for Fiscal Stability 2023 – U.S. News
#3 Best State toStart a Small Business 2023 – Capitalontap
“The market is expected to remain in balance through 2024. The project should have strong appeal to the market as it is located in a desirable residential neighborhood.”
Western States Multifamily, Independent Market Study
Request Townhomes at Equinox on Lincoln
investor Kit
Investor Presentation (PDF)
The live presentation replay
Underwriting Walkthrough Video
The Investment Summary
The FAQ Document
Doing a 1031 Exchange Video
An accredited investor, in the context of a natural person, includes anyone who:
Has earned income that exceeded $200,000 (or $300,000 together with a spouse) in each of the prior 2 years and reasonably expects the same for the current year,
OR has a net worth over $1 million, either alone or together with a spouse (excluding the value of the person's primary residence).
Our Flourishing Small Metro, Idaho Falls
Located in Eastern Idaho, Idaho Falls is a super star metro with explosive growth and a thriving economy. It has best-in-the-nation job growth from a diverse range of industries. During Covid, Idaho Falls saw the fastest job growth rate in the country and experts are predicting future job growth of over 40% in the next decade.
Here are some awards and accolades that highlight why we think Idaho Falls is a phenomenal metro for real estate investors:
40.4% Job growth since 2013
2.7x Faster job growth vs U.S. (2013 – 2023)
With high-paying jobs and remote working the new norm, Idaho Falls is an attractive place to live. People are moving here because of the jobs, quality of live, and the diverse economy. We see nothing but good news ahead for real estate investors that invest in this metro.
“My 1031 experience with Grocapitus went off without a hitch. They understand the process, helped educate me, and provided me a single point of contact to streamline everything. They also understood my time constraints and made sure my exchange fit into the structure of their deal. Leading up to close, the Grocapitus team worked directly with my 1031 intermediary to make sure we were all on the same page, and that all documents were executed properly.
I have to admit I was struggling a bit to find the right 1031 exchange opportunity after selling my apartment complex. I was extremely fortunate that the Midtown Ridge Apartments deal showed up in my inbox when it did, and am so happy to be working with the Grocapitus team. “
Tom K., Grocapitus Investor
Why Build in This Micro Neighborhood
The project site provides an unparalleled opportunity to develop a landmark community in one of the fastest growing areas of Idaho Falls.
Only a few minutes from downtown, it is surrounded by affluent residential communities and is in close proximity to Idaho Fall’s largest employers and three universities. There is convenient access to the regional airport located only 10 minutes away, as well as Boise to the west and Salt Lake City in the southeast.
1.0% Unemployment
An abundance of jobs with one of the lowest unemployment rates in the U.S.
+21.1% Income Growth
In this region over the last 2 years, among the highest in the nation.
+2.6% Population Growth
5X faster than the national rate of 0.5% last year. It is among the highest in the nation.
+58.3% Home Appreciation
Forecast in this region over the next 3 years at 16.5% avg. annual rate (Q1 2024 to Q1 2027)
“The City’s desire is to have high quality, creative and affordable units developed in the core of our community that increase rental options for our residents. Grocapitus/Mission 10K have met that desire, and gone above and beyond… Grocapitus/Mission 10K was thoughtful, and the effort was impressive to witness!.”
MAJOR’S OFFICE OF ECONOMIC DEVT, CITY OF IDAHO FALLS
A Stellar Development Track Record
With Townhomes at Equinox on Lincoln, we are building on our early adoption of BTR community development, with multiple successful BTR projects:
Equinox Townhomes Idaho Falls
66 unit build-to-rent townhome community with an open-living design concept.
Nova RTP - Durham, NC
46 modern townhomes in an innovative rental community with co-working spaces, a community kitchen, fully loaded fitness center, dog park, and more.
University Oaks - Houston, TX
32 unit Class A+ ultra-modern multifamily community with optimized amenities.
Our significant BTR experience, coupled with our solid track record of executing on new construction projects in a variety of commercial real estate sectors, positions us to deliver outstanding results for our investors.
Coyote Creek Apartments in St. George, Utah
The Grid student housing in Buffalo, NY
Woods Cross Flex-industrial in Woods Cross, Utah
Park Canyon super value-add multifamily in Dalton, Georgia
The Housing Shortage Crisis
“The U.S. needs to build 4.3 million more apartments by 2035 to meet the demand for rental housing. This includes 600,000 total units to fill the shortage from underbuilding after the 2008 financial crisis.”
There is a Staggering Pool of Renters
High interest rates coupled with high home prices has made this the absolute worst time ever to buy a home, even worse than 2005 and 2006! As a result, the cost of ownership vs the cost of renting is completely out of whack, and has the widest gap on record:
Cost of Ownership vs Cost of Renting
While there are tens of millions of potential home owners, they simply cannot afford to own a home:
The monthly payment for a median price single-family home has soared the past 3 years
As a result, the income needed to own even a starter home was up a staggering amount
Even if home prices fall and mortgage rates drop in 2024, it will make sense for most people to continue renting, supporting multifamily demand for years.
Build-to-Rent Continues to Shine
The next best thing to owning a home for the millions of people that are priced out of the market is renting one. As a result, master planned rental communities with large single-family or townhome units that provide many of the community amenities found in apartment complexes continue to skyrocket. They attract higher income tenants that want premium design, materials, amenities, and services.
Average BTR rents are at an all-time high of $2,020 vs conventional rental apartments which average $1,736*
BTR rent increases have averaged 4.2% since 2016 and 9.5% year-over-year for new leases and renewals in Q2 2022*
National BTR average occupancy rates are above 96%*
And build-to-rent properties are a great inflation hedge according to Bercadia:
“Investing and building BTR communities is a great hedge against inflation, especially if incomes keep growing – a compelling reason for portfolio diversification. This segment is poised for continued growth as 67% of BTR households are within the 25 to 55 age cohort. These households typically earn high incomes and are renters by choice. They are also a “stickier” rental base, with average turnover much lower than conventional apartments.”
Source: MHN, Berkadia’s Cautiously Optimistic Outlook for the BTR Sector, Jan 2023
BTR: Optimistic Outlook
“The BTR market has shown a fair amount of resiliency given the current economic headwinds. The rapid rise of mortgage rates to the highest levels seen in two decades has limited the ability of many Americans to purchase homes. Current BTR renters are less likely to transition into home ownership, while the shortage of housing in our country and the need for larger homes continue to fuel demand.”
Jan 2023
Request Townhomes at Equinox on Lincoln
investor Kit
Investor Presentation (PDF)
The live presentation replay
Underwriting Walkthrough Video
The Investment Summary
The FAQ Document
Doing a 1031 Exchange Video
An accredited investor, in the context of a natural person, includes anyone who:
Has earned income that exceeded $200,000 (or $300,000 together with a spouse) in each of the prior 2 years and reasonably expects the same for the current year,
OR has a net worth over $1 million, either alone or together with a spouse (excluding the value of the person's primary residence).
Introducing the Development and Management Team
NEAL BAWA
Grocapitus
CEO & Founder
ANNA MYERS
Grocapitus
COO
NEAL BAWA
Grocapitus, CEO & Founder
ANNA MYERS
Grocapitus, COO
PETE LEVINE
Grocapitus, Acquisitions & Development
Dr. KASH PATEL
xxx
How Grocapitus Selects Development Markets
Rent Growth
The 5 year rent growth forecast is one of our key indicators. We use a powerful proprietary method to calculate this value.
Rent Growth
The 5 year rent growth forecast is one of our key indicators. We use a powerful proprietary method to calculate this value.
Sales Trends
We continuously monitor local sales to compute cap rates and determine whether our cap rates are on target to reach our projections.
Sales Trends
We continuously monitor local sales to compute cap rates and determine whether our cap rates are on target to reach our projections.
Employment
We look for metros and submarkets that are adding a significant number of high-paying jobs, resulting in a stable local economy.
Employment
Supply And Demand
We monitor the supply of local units carefully to ensure it will not spike the vacancy rates and negatively impact rents.
Supply And Demand
We monitor the supply of local units carefully to ensure it will not spike the vacancy rates and negatively impact rents.
Projected Returns (Class B2, 4 Year Hold)
23%
Avg Annualized Return
18.4%
IRR
1.92x
Equity Multiple
7%
Pref
23% AAR
Avg Annualized Return
18.4% IRR
Internal Rate of Return
1.92x EM
Equity Multiple
7% Pref
Preferred Return
Request Townhomes at Equinox on Lincoln
investor Kit
Investor Presentation (PDF)
The live presentation replay
Underwriting Walkthrough Video
The Investment Summary
The FAQ Document
Doing a 1031 Exchange Video
An accredited investor, in the context of a natural person, includes anyone who:
Has earned income that exceeded $200,000 (or $300,000 together with a spouse) in each of the prior 2 years and reasonably expects the same for the current year,
OR has a net worth over $1 million, either alone or together with a spouse (excluding the value of the person's primary residence).
This material does not constitute an offer or a solicitation to purchase securities. An offer can only be made by the Private Placement Memorandum (PPM). The PPM and its exhibits contain complete information about the Property and the investment opportunity. The information contained herein is not a substitute for an investor’s complete review of all of the information attached to the PPM as part of their own due diligence regarding this investment opportunity and its suitability for their investment portfolio.