A Repeatable Way to Own Cash-Flowing Real Estate
Lombard buys well-located, older multifamily buildings in supply-constrained Pacific Northwest submarkets at a low basis and a high going-in yield — then takes control of management, adds utility bill-back (RUBS) and ancillary income, and returns real cash to investors quickly. The three assets below are that model in practice.
Across all three deals investors have received more than $445,000 in cash distributions — every property is actively paying, and each one was bought below the cost to build it new. The upcoming opportunity is cut from the same cloth: same vintage-brick, same submarket profile, same management-led playbook.
Goldie Apartments — Bought Below Replacement, Re-Stabilized to the Mid-90s
A 34-unit 1910 building on Capitol Hill, acquired May 2025 at a 7.6% going-in cap and below the cost to build new. Lombard replaced dysfunctional prior self-management with a professional operator, drove occupancy back to the mid-90s, and pushed in-place rents $575/month above underwriting.
Real cash flow
Four straight quarterly distributions totaling $170,000. The Q1-2026 distribution reached the pro-forma target ($70K vs $55K planned) for the first time, and the stabilized quarter's NOI landed within 2.5% of the underwritten plan.Basis & management levers
Acquired at a 7.6% going-in cap below replacement cost. A professional third-party manager replaced prior self-management; RUBS bill-back is converting toward 95%, and owner-operated parking and laundry add income that was never underwritten.Grandview Apartments — A Deep-Value Basis and the Strongest Cash Story
A 46-unit 1907 brick building with an elevator in Goose Hollow, acquired late 2024 at $98,913 per door and a 9.19% going-in cap — a genuinely contrarian basis. It has returned the most cash of the three: $214,005 across seven distributions, roughly an 11% cash yield since close.
Real cash flow
$214,005 returned to investors across seven distributions — the most of any asset in the group — at roughly an 11% cash-on-cash yield since acquisition. Distributions have tracked the underwritten pace.Basis & financing edge
Bought at $98,913/door — well below replacement cost — at a 9.19% going-in cap. The senior loan funded smaller and pure interest-only versus underwriting: a fixed ~5.9% coupon with no rate risk through the hold.The Imperial Arms — First Quarter Under Lombard, Already Beating Budget
A 54-unit 1921 building (plus a rooftop cell-tower lease) acquired February 2026 and run by Lombard's own in-house management. In its first full quarter it is tracking ahead of underwriting: 98.2% occupancy, zero delinquency, and trailing NOI 15.9% above budget.
Real cash flow & clean credit
$61,000 distributed within the first two quarters at a ~10.6% annualized cash-on-cash, with zero true delinquency since takeover. Underwriting targets a 21.1% LP IRR and a 2.3× equity multiple.Value-add in motion
Every lease renewal converts onto RUBS (~$65/unit/month of recovered utility cost), a trash-service re-bid saves ~$3,960/year, and an electrical-panel modernization is underway — expense compression on top of a low basis.The Same Playbook, Applied Again
The upcoming opportunity is deliberately similar to the three assets on this page: a well-located, older Pacific Northwest apartment building available at a low basis and a high going-in yield, where the value is created by taking control of operations rather than by speculative renovation.
What these deals demonstrate is a discipline, not a lucky quarter. Goldie, Grandview, and Imperial Arms were each bought below the cost to replace them, financed with interest-only debt at fixed or capped rates, and put under hands-on management — in-house where we can, a vetted operator where we can't. Then we add the boring, durable income levers: utility bill-back, ancillary revenue, and disciplined expense control.
The result is what investors actually feel — cash. More than $445,000 distributed across the three so far, with every asset still paying. Grandview has returned roughly 11% on invested capital since close; Imperial is already beating its budget in its first full quarter; Goldie has re-stabilized to the mid-90s and hit its pro-forma distribution.
That brings us to Crown Point Apartments — a 34-unit building in SE Portland, under contract now, that fits this playbook almost line for line: bought below replacement cost, seller-financed at a 7.1% going-in yield, and handed to the very team that already runs the comparable down the street. The final tab lays out the numbers. We would be glad to walk you through it — thank you for your continued partnership.
Crown Point Apartments — Underpriced by the Foot
Thirty-four units where the largest homes carry the lowest rent per square foot — acquired with seller financing at a 7.1% going-in yield, and handed to the team that already runs the comparable down the street. This is the track record above, applied again at today's basis.
Crown Point capitalizes at $5.41M all-in. Seller financing covers 69% of it — interest-only, below market, with no bank in the deal — so the 7.1% going-in yield falls almost entirely to equity from day one.
| Source | Amount | % of total |
|---|---|---|
| Seller carry — 5.0% IO, 60-month | $3,750,000 | 69% |
| Common equity | $1,660,000 | 31% |
| Total capitalization | $5,410,000 | 100% |
No bank, no rate risk in the hold
Seller note of $3.75M at 5.0%, interest-only, 60-month term — about $187.5K annual debt service, no amortization drag, no third-party lender, no rate-cap cost, no refinance risk inside the hold.Run the rent roll by the square foot and the anomaly is plain: the two largest, most rentable unit types — 24 of 34 homes — sit at the very bottom of the building's $/SF range. They are not small premiums to capture. They are the core of the business plan.
17 units — half the property
The 2-bed / 1-bath cohort alone is the single largest pool of mark-to-market in the building, priced today at the very bottom of its $/SF range.Conservatively underwritten
Our model lifts the blended rent just $1,391 → $1,436. The discount we're buying is wider than the rent we've modeled.Nine of the homes are two-story townhomes — 1,250 square feet across two levels. We underwrite them to $1,595. The comparable that anchors that number is a 900-square-foot single-level flat that already leases for $1,650. We are modeling a larger, better unit below a smaller one.
The comps anchoring this deal are Lombard's own closed leases — we already operate in this submarket and know what these units command. The going-in yield rewards equity from day one; the mark-to-market on the family-sized homes is the upside we control.