Cherry Lane Court Business Center is a small bay office/warehouse project that Kenwood purchased in early 2012 for $3.35M. The property was 71% leased at time of closing.
Over its ownership period, Kenwood addressed the following:
- Increased occupancy to 100%
- Replaced the roof
- Designed and installed a new monument sign
- Designed and installed new uniform tenant signage
- Rehabilitated the parking lot
- Replaced numerous heat pump and split HVAC units
- Installed internet-based exterior cameras
As a result of these efforts, Kenwood increased the property’s value which culminated in its sale in November 2020 for $6M. This represented an appreciation in its value of 79% in just over 8 years.
Kenwood’s investors achieved a 14% internal rate of return (IRR) of 14% after all fees and expenses.
