Preston Ridge Apartments

The Property

Preston Ridge Apartments is a 340-unit, Class A garden-style multifamily community built in 2020/2023 at 2001 Startown Road in Hickory, North Carolina, sited on approximately 24.1 acres across 17 buildings—13 residential and four detached garage structures holding 36 garages—with a parking ratio near 1.92 per unit ¹. Independent reporting on the January 2026 transaction confirms the 340-unit community and Passco Companies as buyer ²³. The property was 89.12% occupied at acquisition ¹.

Acquisition and Financing

The trust took fee-simple title on January 8, 2026 at a gross price of $73,082,500 ($71,300,000 net of a $1,782,500 advisory fee to affiliate Passco Management Services), against a November 21, 2025 as-is appraisal of $73,300,000—roughly $209,706 per unit ¹. Senior debt is a $39,215,000 KeyBank N.A. loan through the Fannie Mae DUS program, fixed at 5.01% over a 10-year term with seven years interest-only before 30-year amortization and a 2036 maturity. The sponsor reports loan-to-value of 46.93% of total capitalization (about 53.5% of appraised value) and a year-one debt-service-coverage ratio of 2.06x ¹.

Master Lease and Management

The property operates under a master lease with Passco Preston Ridge MT, LLC, a Passco affiliate funded with $50,000 cash plus $310,000 and $500,000 notes guaranteed by Passco Companies, LLC. Fogelman Properties serves as third-party day-to-day manager ¹.

Offering

The Form D filed January 21, 2026 reports a $44,350,000 offering with $0 sold as of that date and estimated payments to related persons of $6,626,878 ⁴⁵.