This fractured townhome property was acquired from an Institutional Owner in late 2005. Most of the market simply could not understand how to extract value on a series of 4-plexes (24 out of 32) with a dysfunctional HOA. If viewed as a 96-unit, the cash flow was anemic and the problem of a fractured community made any sort of exit limited. Selling individual units off to retail buyers wasn’t a viable option, either, since each multi-unit building had a single legal description. We, however, saw the exit clearly. Our plan included physical rehab, an overhaul of the HOA, and a disposition of individual buildings to local investors. In the end, we were able to provide an opportunity to acquire small multifamily assets in an excellent location with a captive renter market. The project was owned re-sold in approximately 6 months netting the partnership a 2x multiple on equity.