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From ‘Animal House’ to ‘Recession-Proof’

Recession-Proof

Student housing has graduated into a sought-after real estate class. More institutional investors are looking at student housing as a viable investment thanks to rising demand that continues to outweigh the current supply.
Though the sector has been dubbed “recession-proof” because of its ability to withstand the economic volatility of the financial crisis, student housing was not always popular among investors.


Posted By: Pat Nelson / Jul 21 2017

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Millennials boosting student housing sector

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More millennials are pursuing higher education than ever before and the demand is fueling the student housing sector.
A recent TH Real Estate report said student housing attracted $9 billion in investment last year and demographic trends will continue to support the sector through 2017. And many states are cutting higher education funding, making room for investors to provide on-campus housing that schools are not able to afford, Multi-Housing News reports.


Posted By: Pat Nelson / Jul 20 2017

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Nelson Brothers is Going Green

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Properties near Purdue and the University of West Virginia are certified under the Green Building Initiative for sustainability. Other properties will soon follow suit.
It can be, but it doesn’t have to be.
ALISO VIEJO, Calif. – Three Nelson Brothers student housing properties have been certified under the Green Building Initiative for their sustainability features and practices.


Posted By: Pat Nelson / Jul 14 2017

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Is There an Easy Way to Manage a 1031 Exchange?

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The 1031 Exchange allows landlords to sell their highly appreciated properties without paying a dime in capital gains taxes. It sounds almost too good to be true, so it must be complicated, right?
It can be, but it doesn’t have to be.
“One of the biggest challenges people have with a 1031 Exchange is the short timeline that the IRS gives them to find a replacement property,” Nelson Brothers Professional Real Estate principal Brian Nelson explains in the final installment of his “Ask the Brothers” video series. “So a lot of people feel trapped.”


Posted By: Pat Nelson / Jul 10 2017

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What is a 1031 Exchange?

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Anyone who owns rental properties that have significantly appreciated in value and is now looking to take advantage of those gains should become familiar with the 1031 Exchange.
A 1031 Exchange, also called a like-kind exchange or a Starker exchange, allows a property or a business owner to defer capital gains taxes incurred on the sale of a property as long as that money is invested in another property or properties. A 1031 Exchange is applicable only for investment or business property, not personal property.


Posted By: Pat Nelson / Jul 03 2017

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What is Meant by Cap Rate?

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One thing that is commonly asked by real estate investors is what all the different commercial terms mean? Such as net operating income (NOI), cash on cash, internal rate of return and cap rate. Knowing these terms and how to calculate them is essential to anyone who invests in real estate. This is especially true for new investors.
If you are learning or if you are a bit unfamiliar with where to start, understanding real estate terminology is the best way to begin. Cap rate is one of the most important concepts to understand. Capitalization rate is used to estimate investor’s potential return on their investments. Knowing the cap rate equation and how it can work to provide for you the best return on your investment will help you make smart investment choices. So let’s get started!


Posted By: Pat Nelson / Jun 29 2017

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The 3 Main Property Valuation Methods

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One of the most important features of owning a rental property is its value. Before we delve into the main property valuation methods, it’s imperative to understand the importance of a property’s value.
Property valuation is a key concept in real estate investing. If you don’t know the value of an investment property, you won’t be able to know how much rent to charge or how much to pay in property taxes. Estimating these two figures, along with others like property insurance, is not possible without knowing a property’s value.


Posted By: Pat Nelson / Jun 27 2017

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How Does Depreciation Work?

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One of the biggest advantages to investing in real estate are the tax benefits. Because the IRS allows the cost of income-producing property to be recovered through yearly tax deductions, in many cases it’s entirely possible to create a monthly cash flow without paying any tax on it.
How is this possible? A big part of the equation is depreciation, a non-cash – or paper – deduction that allows you to spread out the cost of buying a property over decades.


Posted By: Pat Nelson / Jun 26 2017

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The Growing Student Housing Industry

Growing Student Housing Industry

Universities can be economic engines, and student housing has become a big player in commercial real estate as a result, driving investment and development.
The industry has changed from friends-and-family capital to being very institutional, according to Pierce Education Properties CEO Fred Pierce. This year, student housing has doubled the investment sales of any year in its history.


Posted By: Pat Nelson / Jun 23 2017

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Boomers Look to Real Estate to Afford Retirement

Boomers Look Real Estate

As many as 10,000 baby boomers retire daily. Members of this generation are increasingly looking to real estate to diversify their retirement portfolios and boost returns.
Many boomers have realized that their retirement plans are not sufficient and have turned to alternative investments, such as real estate, to compensate.
About 30 percent of baby boomers have no retirement savings and one-quarter have less than $50,000 saved, according to research by GoBankingRates.


Posted By: Pat Nelson / Jun 22 2017

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What is I.D.E.A.L.?

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While it would be a stretch to say that any investment opportunity is “perfect,” Nelson Brothers Professional Real Estate is confident in stating that its goals for every investor are “I.D.E.A.L.” “That’s a clever acronym that we use to demonstrate the five different ways that we can grow an investment simultaneously,” Principal Brian Nelson said.
Nelson laid out those five core benefits during the fourth segment of his “Ask the Brothers” video series, designed to explain the company’s business model and to address common questions from investors.


Posted By: Pat Nelson / Jun 19 2017

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Student Housing ‘a Global Asset Class’

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Some of the world’s richest people and sovereign wealth funds are turning their attention to student housing, with the increasingly luxurious and expensive purpose-built accommodation becoming regarded as a must-have part of their investment portfolio.
Investor demand for student accommodation blocks is so strong that some potential buyers were forced to stand during presentations at a student housing investment conference in a ballroom in Covent Garden, central London last month.


Posted By: Pat Nelson / Jun 14 2017

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Student Housing Sales Outperform Rest of Market

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Commercial real estate investors are increasingly keeping their wallets in their pockets, waiting to see where interest rates will go, for prices to come down and for more properties to come on the market. That’s happening in almost every sector, except for student housing.
Sales of student housing properties beat the trend in the rest of the market in the first quarter. If investors keep buying and selling student housing at this rate, they will match the record-setting acquisition volume of 2016, despite a long list of larger market challenges that could have slowed the pace of transactions.


Posted By: Pat Nelson / Jun 13 2017

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What is Professionally Managed Real Estate?

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In a Gallup poll released in April 2016, Americans selected real estate as the best long-term investment opportunity, far ahead of stocks, bonds, gold, and savings. And while we’ve established the benefits of investing in private student housing, most people lack the funds or expertise to buy and manage their own apartment properties.
A professionally managed real estate company, however, affords you the security of pooling your money with many other investors in a diversified portfolio, while offering asset preservation and capital appreciation, as well as a monthly cash flow through dividends. This can all be accomplished in a simple and efficient transaction.


Posted By: Pat Nelson / Jun 12 2017

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2016 a Record Year for Student Housing Investment

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As millennials’ pursuit of higher education fuels demand for student housing, institutional investors — including private real estate funds, pension plans and sovereign wealth funds — are increasingly stepping in.
A wave of capital flooded the industry last year. Investors poured more than $10 billion into U.S. student housing assets in 2016, making it the largest transactional year in history, according to ARA Newmark Student Housing Group’s 2016 Market Overview report.


Posted By: Pat Nelson / Jun 06 2017

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How to Select a Student Housing Investment

Invest in Student Housing

Once you’ve recognized the benefits of investing in student housing, the next logical question is: How does one go about it? Nelson Brothers Professional Real Estate co-founder and Principal Brian Nelson shared his company’s successful business model in an “Ask the Brothers” video series.
“What a lot of people don’t know about commercial real estate is that the primary evaluation tool is the cap rate, which is the net operating income divided by the sales price,” Nelson explains.


Posted By: Pat Nelson / Jun 05 2017

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Why Invest in Student Housing?

Invest in Student Housing

Can you remember a major university folding its tent and going out of business? Can you imagine a scenario in which Notre Dame, the University of Oregon or Utah State University suddenly just disappear?
Neither can Brian or Patrick Nelson, who have grown Nelson Brothers Professional Real Estate to a $500 million company in 10 years by specializing in the niche market of private student housing. Brian Nelson recently filmed an Ask the Brothers educational video series to explain the company’s business model and to address common questions from investors.


Posted By: Pat Nelson / May 19 2017

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NBPRE hires new corporate controller

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Well-diversified finance and accounting professional Lisa Shu Yang Tyson brings wealth of experience from successful stints at multiple multinational firms.
ALISO VIEJO, California – May 19, 2017 – Nelson Brothers Professional Real Estate is pleased to announce that Lisa Shu Yang Tyson has joined the company as Corporate Controller. Tyson will lead the financial modeling and strategic plan projections for Nelson Brothers’ acquisition, property management and construction arms. This includes partnering globally with cross-functional leads to spearhead annual operating plans.
Posted By: Pat Nelson / May 19 2017

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Nelson Brothers Professional Real Estate purchases Class ‘A’ properties near Purdue for $44 million

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The properties were purchased for $44 million, bringing Nelson Brothers’ total portfolio to more than $500 million under management. The apartments also stand out as one of the 10-year-old family-owned company’s most beautiful properties.
“This acquisition is exceptionally anticipated to be one of our trophy properties to date,” said Brian Nelson, co-owner and chief marketing officer. “It’s one of the closest off-campus properties to the university, at .25 miles compared to the average distance of the other properties at 2.73 miles.
Posted By: Pat Nelson / May 19 2017

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Investors reap rewards of University Gardens renovations

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Nelson Brothers Professional Real Estate recently completed a renovation and re-syndication of the historical University Gardens student apartments in Salt Lake City that helped to more than double the number of tenants and increased rental revenue by 76 percent. The renovation maintained the authenticity of the property’s historical exterior while bringing the interior of the units in line with the contemporary standards that today’s sophisticated college student has come to expect.
Posted By: Pat Nelson / May 15 2017

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NBPRE reaches $500 million milestone

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“It’s a huge milestone for us,” President and CEO Patrick Nelson said. “For a family-owned company, we’ve come a long way. When we first began our business, we started out of an apartment 10 years ago. This achievement is really a testament of our great people and what they have been able to accomplish in a very competitive field.”
Posted By: Pat Nelson / May 15 2017

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900 Factory student housing complex approved for expansion

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Nelson Brothers’ 900 Factory deluxe student housing complex near Utah State University has been approved for expansion.
The Logan Planning Commission last week conditionally approved the third phase of construction, which will add on to the existing six-story, above-ground parking structure and build six floors of apartments to the east of the current building. The proposal includes 48 apartments with 136 beds and 159 parking stalls.
Posted By: Pat Nelson / May 03 2017

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Patrick Nelson speaks at Conference

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Nelson Brothers President and CEO Patrick Nelson spoke Thursday before many of the industry’s leading experts of managers, service providers, and institutional and private wealth investors at the Opal Group’s 2017 Real Estate Investors Conference in Boca Raton, Fl.
Posted By: Pat Nelson / May 03 2017

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Properties Near ‘Ole Miss’ Acquired

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Aliso Viejo, CA and Oxford, MS - Southern California-based Nelson Brothers Professional Real Estate recently closed on the purchase of Molly Barr Trails and Molly Barr Ridge, two adjacent student housing properties near the University of Mississippi. The properties were recently built (2012 and 2015 respectively) and fully amenitized.
Posted By: Pat Nelson / Apr 26 2017

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Millennials: Not Your Average Renters

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For decades, owning a home has been a key component of the American dream. However, millennials are all about disrupting trends, and housing has been no exception. Millennials have chosen to rent longer than their Generation X or Baby Boomer counterparts for many reasons—such as high student debt, an emphasis on flexibility, and a penchant for convenience. These unique reasons have made millennials a different type of renter and a market you should definitely not ignore.
Posted By: Pat Nelson / Jun 13 2016

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Student Housing a Profitable Niche

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As off-campus housing changes communities, asset-rich investors vie for the best properties.


Posted By: Pat Nelson / Jun 09 2016
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Nelson Brothers Real Estate Sells USC Property For Nearly 90 Percent Return To Investors

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Nelson Brothers sells Chateau Sera and Tropicana student housing properties for $10.1 million, resulting in over $2 million in profit. Aliso Viejo and Los Angeles, CA—Southern California-based Nelson Brothers Professional Real Estate recently closed on the sale of Chateau Sera and Tropicana, two student housing apartment complexes acquired in 2012 near the University of Southern California.
Posted By: Pat Nelson / Mar 16 2016

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Like Father, Like Sons

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Aliso Viejo, Calif. – With generations of expertise behind them, Patrick and Brian Nelson, co-presidents and principals of Nelson Brothers Professional Real Estate, seem as though they were destined for real estate. Their grandfather and his four brothers started Nelson Brothers Construction Company in 1946 in Salt Lake City which they still own. Brian and Patrick’s father also made his living in the real estate industry, originally as a sales manager at the master planned community of Mission Viejo.
Posted By: Pat Nelson / Jan 08 2016

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NELSON BROTHERS REAL ESTATE CLOSES ON AWARD WINNING HOUSTON PROPERTY FOR $40 MILLION

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Aliso Viejo, Calif. – With generations of expertise behind them, Patrick and Brian Nelson, co-presidents and principals of Nelson Brothers Professional Real Estate, seem as though they were destined for real estate. Their grandfather and his four brothers started Nelson Brothers Construction Company in 1946 in Salt Lake City which they still own. Brian and Patrick’s father also made his living in the real estate industry, originally as a sales manager at the master planned community of Mission Viejo.
Posted By: Pat Nelson / Dec 01 2015

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Southern California Company Targets The Mark As Latest Acquisition For $22 Million

The Mark

Aliso Viejo, Calif. and Tempe, Arizona – In one of their biggest transactions for the year, Nelson Brothers Professional Real Estate, LLC has purchased The Mark, a newly renovated student housing project near Arizona State University for $22,128,000.
Posted By: Pat Nelson / Dec 01 2015

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Nelson Brothers Real Estate Acquires Student Housing Venture – Taylor Bend

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Aliso Viejo, Calif. — Southern California-based Nelson Brothers Professional Real Estate, LLC has Taylor Bend, a new, 2012-built Class A boutique student housing community within close proximity to the prestigious “Ole Miss” campus. Nelson Brothers believes Taylor Bend is well positioned with excellent fundamentals in a market stabilized by Old Miss, a 166-year old institution with 18,423 students enrolled, anticipating 10% growth in enrollment by 2020.
Posted By: Pat Nelson / Jan 01 2015

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Nelson Brothers Real Estate Acquires Student Housing Venture – Darby Row Belfry

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Aliso Viejo, Calif. — Southern California-based Nelson Brothers Professional Real Estate, LLC has officially closed The Darby Row Townhomes & Apartments and The Belfry, two separate new construction student housing properties serving The University of Notre Dame in South Bend, Indiana. They are located on the same block less than one mile south of the main entrance to campus. The properties combine to be 37 units and 71 total beds.
Posted By: Pat Nelson / Jul 13 2014

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Nelson Brothers Real Estate Acquires Student Housing Venture - The Auraria Student Lofts

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Aliso Viejo, Calif. — Southern California-based Nelson Brothers Professional Real Estate, LLC has officially closed on The Auraria Student Lofts, a high-end, well-upgraded student housing property in what Nelson Brothers believes to be a prime location in the heart of downtown Denver. The property is located just two blocks from the Auraria Campus. The campus is the largest in the state of Colorado and boasts a current enrollment of over 43,000 students hosting three institutions: the University of Colorado Denver, Metropolitan State University, and Community College of Denver.
Posted By: Pat Nelson / Jul 13 2014

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Nelson Brothers Real Estate Acquires Student Housing Venture – BYU Alpine

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Aliso Viejo, Calif. — Southern California-based Nelson Brothers Professional Real Estate, LLC has officially closed on The Alpine Apartments, an older Class “D” student housing property with what Nelson Brothers believes to be a phenomenal location less than a block from the BYU Campus. Alpine combines two apartment buildings and an old home that were built in 1965 and 1989 which comprise 28 units in total.
Posted By: Pat Nelson / Dec 26 2013

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Nelson Brothers Real Estate Acquires Student Housing Venture – Continental AGGIE FLATS

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Aliso Viejo, Calif. — Southern California-based Nelson Brothers Professional Real Estate, LLC has officially closed on The Continental Apartments, a student housing property with a location just one block from the Utah State University Campus. The Continental Apartments were built in 1950, 1967 and 1977 and comprise 40 units in total. The property is ideally located just two blocks from the campus. Total enrollment at USU is 17,009 which is up 17% from 2005.
Posted By: Pat Nelson / Feb 19 2013

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Nelson Brothers Real Estate Announces Charter School To Move Into Previous Retail Center

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AlisoViejo, Calif. and Goodyear, AZ — Nelson Brothers Professional Real Estate, LLC (Nelson Bros.), signed an agreement with Great Hearts Academy to lease 100 percent of La Piazza at Palm Valley for their new non-profit charter school, Trivium Preparatory Academy. According to an announcement from Brian Nelson, Principal and Co-Founder of Nelson Bros., the initial terms of the lease are for ten years commencing on July 1, 2011 and terminating June 30, 2021 with the school occupying 23,398 square feet (76.7%) in the first year and the remaining 30,500 square feet (100%) beginning in the second year.
Posted By: Pat Nelson / Jul 01 2011

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Nelson Brothers Real Estate And Premier Senior Living Acquire Senior Living Facilities In West Florida

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Aliso Viejo, Calif. and New York, NY — Nelson Brother Professional Real Estate (NBPRE) and Premier Senior Living, LLC, (New York) have purchased a two-property assisted living portfolio in Florida, Summerville of Venice and Summervile of New Port Richey for $8.5 million in an announcement by Brian Nelson, Principal and co-founder of NBPRE. Both properties totaling 82,112 square feet with 190 licensed beds and 148 units will be leased out to Premier Senior Living who will pay investors an 8% cash-on-cash return net of all expenses including taxes, insurance, maintenance and debt service.
Posted By: Pat Nelson / Jun 15 2011

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Patterson Place Apartments Leased Up To 100% Occupancy

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Eugene, Oregon — Patterson Place Apartments, a 14-unit luxury student housing project located near the University of Oregon has pre-leased to 100% occupancy for the upcoming 2011-2012 school year beginning in the Fall. The announcement came from Brian Nelson, Principal and Co-Founder of Nelson Brothers Professional Real Estate, LLC. The property was purchased last fall as a Tenant-in-Common (TIC) structure by the Southern California-based real estate firm that specializes in student housing and assisted living properties.
Posted By: Pat Nelson / May 01 2011

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Senior Living Facility Sees A Landmark Year With 57% Increase Of NOI

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Aliso Viejo, Calif. and New York, NY — Astounding investors and the real estate industry alike, Nelson Brothers Professional Real Estate, LLC, and Premier Senior Living, LLC, (New York) announced a 57% increase in net operating income for Eden Heights of Eden, New York, a 120- bed senior living facility. The property was first purchased for $6,987,000 with $2,087,000 in equity raised from 12 investors and a loan of $4,900,000 in 2009 with a projected NOI of $604,551 based on the investment’s private placement memorandum. According to Brian Nelson, Principal and co-founder for Nelson Brothers Professional Real Estate, the actual performance for 2010 produced an NOI of $949,483 including a 5% management fee which exceeded the original estimate by $344,932.
Posted By: Pat Nelson / Feb 01 2011

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NELSON BROTHERS REAL ESTATE HIRES HVM SMITH AS NEW PROPERTY MANAGER FOR STUDENT HOUSING PROJECT

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Aliso Viejo, Calif. and Provo, Utah — Nelson Brother Professional Real Estate (NBPRE) has selected the Utah-based property management firm HVM Smith Management, Inc. to manage Winter Haven – University Towers, a student housing project located at the University of Utah. According to Brian Nelson, NBPRE Principal and Co-Founder of the Southern-California based real estate firm, HVM Smith was brought on as the new property manager to take over their recent acquisition which they felt had a great location and an impressive track record but lacked experienced management.
Posted By: Pat Nelson / Jan 15 2011

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NELSON BROTHERS REAL ESTATE ACQUIRES FIRST STUDENT HOUSING VENTURE WITH ALL CASH PURCHASE FOR TENANT-IN-COMMON (TIC) INVESTMENT

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Aliso Viejo, Calif. — Southern California-based Nelson Brothers Professional Real Estate, LLC has officially closed on Patterson Place Apartments, a 14-unit luxury student housing project located near the University of Oregon in Bend, Oregon. The property was purchased for $3,575,000 as a Tenant-in-Common (TIC) structure in an all cash purchase and the first student housing venture for the company. According to Brian Nelson, Principal and Co-Founder of Nelson Brothers Professional Real Estate, the apartment complex is a desirable property for their investors with its unique mix of units, cash-on-cash starting at 6% and situated in a prime location for stability and growth.
Posted By: Pat Nelson / Nov 30 2010

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SENIOR LIVING PROPERTY RECEIVES NEW APPRAISAL OF 37% INCREASE

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Aliso Viejo, Calif. and New York, NY — Eden Heights of West Seneca, one of two senior assisted living properties acquired in 2009 by Nelson Brothers Professional Real Estate, LLC, and Premier Senior Living, LLC, (New York) was recently re-appraised from the original price of $14.5 million to $19.4 million by HealthTrust, an international appraisal company specializing in senior assisted living and health care, according to Brian Nelson, Principal and Co-Founder of Nelson Brothers Real Estate. The assessment was based on a refinancing of the property which officially closed escrow on April 15, 2009 as a Tenant-in-Common (TIC) transaction followed by Premier taking over operations with the goal of increasing the net operating income.
Posted By: Pat Nelson / Jun 25 2010

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NELSON BROTHERS REAL ESTATE AND PREMIER SENIOR LIVING ACQUIRE SECOND ASSISTED LIVING PROPERTY FOR TENANT-IN-COMMON (TIC) INVESTMENT

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Aliso Viejo, Calif.— In their second successful collaboration, Nelson Brothers Professional Real Estate, LLC, and Premier Senior Living, LLC, (New York) have acquired Eden Heights of West Seneca, a single story 104-bed, assisted living facility built in 1996 in West Seneca, NY. The property was structured as a Tenant-in-Common (TIC) transaction that officially closed on April 15, 2009 with seller carry-back financing, according to Brian Nelson, Principal and Co-Founder of Nelson Brothers, a Southern California-based real estate investment group.
Posted By: Pat Nelson / Apr 19 2009

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NELSON BROTHERS REAL ESTATE AND PREMIER SENIOR LIVING ACQUIRE SECOND ASSISTED LIVING PROPERTY FOR TENANT-IN-COMMON (TIC) INVESTMENT

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Aliso Viejo, Calif. — Nelson Brothers Professional Real Estate, LLC, and Premier Senior Living, LLC, (New York) have acquired a 120-bed assisted living facility in Eden, NY. According to Patrick Nelson, co-founder of Nelson Brothers the Southern California-based real estate investment group, this is the first joint venture between the two companies.
Posted By: Pat Nelson / Feb 23 2009

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