Generated Documents
IC outputs & diligence docs for Founders Parkway Multifamily
Investment Committee
Diligence & Distribution
IC Memo
14 pages · generated Jun 15, 2026
Recommendation
The underwriting desk recommends a BUY verdict on Founders Parkway Multifamily, a multifamily asset in Austin, TX. At the $131.8M ask the deal underwrites to a 6.5% going-in cap, 1.57x DSCR and a 22.8% levered IRR over a five-year hold.
Investment Thesis
Austin, TX continues to absorb new supply with rent growth tracking ~3.4% YoY. In-place occupancy of 98% with durable contract rents underpins the going-in NOI of $8,498,859. We size agency debt to 67% LTV at SOFR + 165, leaving $44.0M of equity to deploy at a 2.25x projected equity multiple.
Key Risks
Returns are most sensitive to exit cap and rent growth; a 50bps widening on exit compresses the IRR below the 15% hurdle. Secondary risks include lease rollover concentration in the back half of the hold and floating-rate exposure, mitigated by a rate cap struck at the underwritten coupon.
Capital & Structure
Sources: $87.8M senior debt (67% LTV) and $44.0M sponsor + LP equity. Uses: $131.8M purchase price plus closing and reserves. Promote structure: 8% pref, 70/30 split to a 15% IRR, 50/50 thereafter.
Atlas Underwriting · AI-generated draft for internal review. Figures derived from the underwriting model and submarket comps.