Fergmar Capital

Last week, we had the pleasure of welcoming investors to an on-site walk of The Grove Apartments.

There is something different about standing inside an asset versus reviewing it on a page. The numbers tell part of the story. The property tells the rest.

From the unit finishes to the layout of the community, The Grove speaks for itself, and we were proud to share that experience with a room full of sharp, thoughtful investors who asked the right questions and took the time to show up in person.

For those who attended: thank you. Your presence and engagement mean more than a simple post can capture, and we look forward to continuing the conversation.

For those who couldn't make it this time: stay tuned. We host these walks because we believe informed investors make better partners, and we are committed to giving you every opportunity to get close to the assets we bring to market.

More to come!

I Spy 👀

One photo was taken years ago. The other was taken this week.

Same property.
Very different curb appeal.

We've spent years improving this asset, creating value, and investing in the community. The little girl in the first photo may have grown up a bit, but this property is still part of the Fergmar story.

Can you spot what's changed between then and now?

Fresh paint. Property improvements. A lot of hard work behind the scenes.

Since acquiring The Grove Apartments, our team has been focused on executing our business plan and enhancing the resident experience through ongoing value-add improvements across the property.

Want to see the progress for yourself?

This is your last chance to RSVP for our Investor Property Tour this Thursday at 4 p.m. Join us onsite to walk the property, see the improvements firsthand, and hear directly from the team about what's been accomplished and what's next.

We look forward to showing you how we're creating value at The Grove.

RSVP today before registration closes: https://share-na2.hsforms.com/2MgQMGGruRZ-tXhHGek71Fgriqub

A great investment opportunity is more than an attractive return projection.

As an LP investor, some of the most important questions to ask are:
🔹 Who is the sponsor, and what is their track record?
🔹 Does the business plan make sense for the current market?
🔹 Are the assumptions conservative and realistic?
🔹 How is investor capital being protected?
🔹 Are the interests of the sponsor and investors aligned?
🔹 Is communication transparent and consistent?

The best investors understand that successful investing starts long before capital is deployed.
Returns matter. But so do due diligence, risk management, and sponsor quality.

💬 Interested in learning more about how we evaluate opportunities and manage risk? DM us to explore our investment approach and stay informed on future opportunities.

Join us next Thursday. The last chance to RSVP is at the end of this week!

If you have been meaning to sign up for The Grove post-close investor tour and happy hour, today is the day. RSVPs close tonight, and space is limited.

Here is the plan:
📍 4:00 PM | Property tour at The Grove Apartments, Victoria, TX 🥂 5:30 PM | Happy hour at Aerocrafter's, Victoria, TX

Walk the asset, meet the team, and raise a glass to a closed deal. Whether you invested in The Grove or you have simply been curious about what a Fergmar acquisition looks like up close, this evening is for you.

👉 RSVP below. We hope to see you Thursday, June 11th!
https://riqub.share-na2.hsforms.com/2MgQMGGruRZ-tXhHGek71Fg?utm_source=hs_email&utm_medium=email&_hsenc=p2ANqtz-9i1jwdBMARevZ_hcFT6u7n4zf1rxdpGOEEdujz4Gz6PR7PdZEYjFFY2AyMEkCyRNJx_gNu

We underwrote a $16,900,000 retail center. 14-units, 96% occupancy. 7.53% cap rate. We’re passing on the deal, here’s why:

First, here’s a full breakdown of the numbers:
1) The property has a tenant that rents 50% of the SF.
2) That tenant has been in the location for 40+ years.
3) That tenant has 4 years remaining on the lease.
4) The site has frontage on I-69,
↳Which sees 118,495 vehicles pass by per day.
5) The property was built back in 1984.
↳last renovated in 2000.
6) The median income of the area is ~$55K.

Here’s why we’re passing on the deal:
1) The property is a bit older than we normally buy.
2) The long term tenant’s lease is up very soon.
↳With no guarantee that they renew,
↳& they take up 50% of the leased space.
3) The median income is lower than our requirements.
↳This was the nail in the coffin for this deal.

So we passed.
Curious to hear your thoughts on the deal! Comment below.

There is a version of investing where you wire the money and wait.
And then there is the Fergmar way.
We believe the best investor relationships are built long before a deal ever lands in your inbox. That means walking properties together. Sitting down over lunch. Asking the hard questions in person and getting straight answers.

Because when you know the operators, the market, and the asset, you do not just invest with confidence. You invest with conviction.

If you have been curious about what it looks like to invest in Texas multifamily with a team that has been doing this for nearly two decades, come meet us. The next opportunity to connect is coming soon.

Retail center investing isn’t just about buying a building.

It’s about buying the right location, the right tenants, and the right lease structure.

We recently closed on a multi-tenant retail asset that delivered strong cash flow in year one, and it reinforced a simple lesson:
The best retail investments are built on fundamentals, not hype.
When evaluating retail deals, we focus on 3 things:

1. Location
Traffic counts. Population growth. Employer presence. Parking demand.
2. Tenant Quality
Long-term operators, healthy sales, and businesses that complement each other.
3. Lease Structure
Built-in rent growth, long-term stability, and favorable lease terms matter more than most realize.

Retail can be one of the simplest commercial asset classes to understand if you know what actually drives value.

If you’re investing in or underwriting retail deals, focus less on the story and more on the fundamentals that hold up across cycles.