Verandas North Shore

Verandas Northshore represented a significant value-add renovation project in the Houston market. At acquisition, the property was only 40% occupied, presenting a substantial opportunity for repositioning. Nord Group recognized the potential and allocated a sizable capital expenditure budget, including over $1.2 million for a full roof replacement and an additional $5,000 per unit for interior upgrades. The comprehensive renovation plan aimed to modernize the property, attract new tenants, and increase rental income.

The projected rent increases for the renovated units were over $250 per unit, reflecting the improved quality and desirability of the apartments. As the renovation progressed, Nord Group successfully upgraded 80% of the 409 units, significantly enhancing the property’s appeal. These renovations, combined with strategic leasing efforts, helped stabilize occupancy and drive NOI growth.

Upon completion of the renovations, the Verandas Northshore project proved to be a highly successful investment. With improved property performance, the asset was sold, delivering an impressive 37% IRR, further cementing Nord Group’s track record in executing value-add strategies in key markets. This project underscored Nord’s ability to unlock hidden value and generate strong returns through targeted improvements and operational efficiencies.