The Ace was a new construction, premier suburban multifamily development located in Round Rock, TX, within the Austin MSA. The project was developed through a joint venture between Mesa Capital Partners and LIV Development.
The project is located along University Boulevard, a major artery through Round Rock, amongst retail, education, and employment centers within Round Rock. The location is adjacent to three higher education campuses (Texas State, Austin Community College, and Texas A&M Health Science Center) and a hospital (Seton Medical Center). Once a sleepy suburb on the outskirts of Austin, Round Rock has exploded onto the national scene as a “super suburb” with unprecedented population, economic, education, and cultural growth.
Mesa’s investment in The Ace was structured as a joint venture equity co-investment whereby LIV Development contributed 38% of the equity, and Mesa contributed 62% of the equity to complete the 330-unit development.
Upon completion, The Ace had established itself among the top new construction suburban assets in Round Rock. Average effective rent of the Project at time of sale was $1,375 per unit ($1.48/sf).
The project delivered an IRR of 26.7% and an equity multiple of 1.75x. The project has since been renamed by the current owner to Bexley Round Rock.
- Investment Type: New Development/Joint Venture
- Units: 330 | Average Unit Size: 929 sf
- Unit Mix: 1-BD (60%) | 2-BD (30%) | 3-BD (10%)
- Rentable Square Feet: 306,721 sf
- Status: Sold
- Investment Date: January 2017 | Disposition Date: May 2019
- Total Project Cost: $46,270,572 – $140,214/Unit
- Disposition Price: $59,235,000 – $179,500/Unit
- Project IRR: 26.7% | Equity Multiple: 1.75x
- Development Partner: LIV Development – Birmingham, AL