Turnkey Build-to-Rent Portfolio · San Antonio, TX
Prepared exclusively for Oscar Navarro
Twelve newly built rental homes, sold as a single bulk portfolio — with a fixed-rate loan already arranged so the numbers below are what you actually get, not a pro forma.
The Row sits in Denver Heights, a historic East Side neighborhood that has quietly become one of San Antonio's most talked-about close-in addresses — early-20th-century bungalows alongside new infill construction, minutes from the Alamodome, Hemisfair, Saint Paul Square and the River Walk, and a short drive from Southtown and the Pearl. It's the kind of "just east of downtown" location that used to be overlooked and no longer is.
That shift has an unusually concrete catalyst behind it. In November 2025, Bexar County voters approved the funding package for Project Marvel — San Antonio's $1.3 billion downtown sports and entertainment district, anchored by a new Spurs arena on the former Institute of Texan Cultures site at Hemisfair, roughly a mile and a half from The Row. Proposition B (the county's $311M share) passed with 52.1% of the vote and Proposition A (Frost Bank Center and Freeman Coliseum upgrades on the East Side) passed with 55.9%. The city followed with a $30M land acquisition in January 2026, and in August 2026 the City Council reaffirmed its $489M commitment rather than reopen the question at the ballot box — the project is funded and moving, not merely proposed.
Project Marvel also carries a $75 million community benefits agreement over 30 years explicitly earmarked to help the East Side, and local coalitions (VelocityTX, SAGE, LISC) are already organizing to direct that investment into streets, lighting and infrastructure connecting neighborhoods like Denver Heights back to downtown. Whatever one thinks of the arena itself, the East Side is the side of downtown that's getting the public reinvestment dollars right now.
Distances below are approximate straight-line/drive estimates for the Denver Heights area generally, not a survey of this specific parcel.
| Purchase Price | $280,000 / home · $3,360,000 total |
| Down Payment (30%) | $84,000 / home · $1,008,000 total |
| Loan Amount | $196,000 / home · $2,352,000 total |
| Interest Rate | 6.625%, fixed* |
| Interest-Only Period | Years 1–10 |
| Payment During IO | $1,082 / home / mo · $12,985 total |
| Amortization (After IO) | 30 years (Years 11–40) |
| P&I Payment After IO | $1,255 / home / mo · $15,060 total |
All 12 homes close in one transaction at project completion; lease-up and ongoing management are arranged by COSO through a professional third-party manager starting at that point.
*Rate confirmed at closing.
| Gross Rent | $25,200 |
| Less: Property Management Fee | ($1,260) |
| Less: Maintenance & Reserves | ($1,000) |
| Less: Property Tax | ($4,862) |
| Less: Insurance | ($750) |
| Net Operating Income | $17,328 |
| Less: Debt Service (Interest-Only) | ($12,985) |
| Net Monthly Cash Flow | $4,343 |
Rent is priced from current Denver Heights-area comparables.
The loan is interest-only for the first 10 years, so early cash flow starts strong: $4,343/month in Year 1, climbing to $6,999/month by Year 10 as rent grows against a flat interest-only payment. When the loan begins amortizing in Year 11, the payment steps up and cash flow dips to $5,237/month for one year — then resumes climbing every year after that, reaching roughly $15,824/month by Year 40, when the loan is fully paid off.
Because the loan is interest-only through Year 10, the balance never amortizes below the original $2,352,000 during the hold — none of this deal's value comes from paying down debt. It comes entirely from full interest-only cash flow and portfolio NOI growth, both of which are already being captured by Year 5. Combined with a payoff amount that doesn't move, that makes a planned sale at Year 5 or Year 10 the more efficient way to realize this deal's return, rather than carrying the loan through 30 years of amortization to Year 40.
Holding to loan maturity at Year 40 — the full cash flow story is above — remains available, and the loan is paid off in full by then. That path isn't going away. But it ties up capital for three additional decades to capture equity paydown you could otherwise realize sooner, in a single transaction, and redeploy elsewhere. The tables below show what a sale could actually return at each point, across a range of exit cap rates.
If a materially better refinance becomes available before either exit point, that option remains open too — the Year 11 payment step-up is only a factor if the portfolio is still held at that point.
Exit value is trailing 12-month NOI at the time of sale, capitalized at the rate shown. The loan payoff and initial equity are identical at either exit point — only NOI and time held change.
| Year 5 Exit | 6.5% Downside |
6.0% As Modeled |
5.5% Market |
5.25% Market Prime |
|---|---|---|---|---|
| Implied Exit Value | $3,410,193 | $3,694,376 | $4,030,228 | $4,222,144 |
| Less: Loan Payoff at Exit | ($2,352,000) | ($2,352,000) | ($2,352,000) | ($2,352,000) |
| Net Sale Proceeds | $1,058,193 | $1,342,376 | $1,678,228 | $1,870,144 |
| Plus: Cash Flow Collected (Yrs 1–5) | $294,686 | $294,686 | $294,686 | $294,686 |
| Total Cash Returned to Investor | $1,352,879 | $1,637,062 | $1,972,914 | $2,164,830 |
| Less: Initial Equity Invested | ($1,008,000) | ($1,008,000) | ($1,008,000) | ($1,008,000) |
| Total Profit | $344,879 | $629,062 | $964,914 | $1,156,830 |
| Equity Multiple | 1.34x | 1.62x | 1.96x | 2.15x |
| Average Annual Return* | 6.8% | 12.5% | 19.1% | 23.0% |
*Simple average annual return (total profit ÷ initial equity ÷ years held) — not a time-weighted IRR. Trailing 12-month NOI at the Year 5 exit is approximately $221,663; cumulative cash flow reflects Years 1–5 only.
| Year 10 Exit | 6.5% Downside |
6.0% As Modeled |
5.5% Market |
5.25% Market Prime |
|---|---|---|---|---|
| Implied Exit Value | $3,689,302 | $3,996,744 | $4,360,084 | $4,567,707 |
| Less: Loan Payoff at Exit | ($2,352,000) | ($2,352,000) | ($2,352,000) | ($2,352,000) |
| Net Sale Proceeds | $1,337,302 | $1,644,744 | $2,008,084 | $2,215,707 |
| Plus: Cash Flow Collected (Yrs 1–10) | $677,884 | $677,884 | $677,884 | $677,884 |
| Total Cash Returned to Investor | $2,015,186 | $2,322,628 | $2,685,968 | $2,893,591 |
| Less: Initial Equity Invested | ($1,008,000) | ($1,008,000) | ($1,008,000) | ($1,008,000) |
| Total Profit | $1,007,186 | $1,314,628 | $1,677,968 | $1,885,591 |
| Equity Multiple | 2.00x | 2.30x | 2.66x | 2.87x |
| Average Annual Return* | 10.0% | 13.0% | 16.6% | 18.7% |
*Simple average annual return (total profit ÷ initial equity ÷ years held) — not a time-weighted IRR. Trailing 12-month NOI at the Year 10 exit is approximately $239,805; cumulative cash flow reflects Years 1–10 only. Loan balance is identical to the Year 5 scenario since no principal amortizes during the interest-only period.
Every cash flow and return figure on this page holds the $280,000 purchase price flat for all 40 years — the model credits you for rent growth and loan paydown only, never for the home simply being worth more. That's a deliberately conservative choice, not a prediction that values won't move. Given the location next to a funded, voter-approved $1.3 billion redevelopment already under construction planning a mile and a half away, further appreciation is a real possibility this model doesn't take credit for.
Illustrative only — these are simple compounding scenarios on the $280,000 purchase price, not a forecast, appraisal, or part of the underwriting above. Actual appreciation (or depreciation) depends on market conditions no one can guarantee, including how much of Project Marvel's investment ultimately reaches this specific corridor.
This page summarizes the offering. Full underwriting, the amortization schedule, and closing documents are available on request.
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