Starboard Bradley is a 144-unit, newly constructed garden multifamily community (The Banks on Bradley) in the Tri-Cities market of Richland, WA, held on a Freddie Mac fixed-rate loan (5.11% fixed, seven-year interest-only, 30-year amortization, 46.09% LTC). The investment thesis stabilizes the recently delivered asset from a Year-1 economic occupancy of ~80.5% toward ~90% as initial concessions burn off, capturing forecast Tri-Cities rent growth. It was acquired at a positive going-in basis, with the ~$34.7M-$35.3M price below the $36.7M appraisal, over a 10-year hold.
, Richland, WA) with a mix of studio, one-, and two-bedroom units, located in the Benton-Franklin (Tri-Cities) market of southeastern Washington. 11% fixed, seven-year interest-only, 30-year amortization, 10-year term maturing December 2035. 2% and rent growth ~2%).
7M as-is appraisal. Sponsored by Starboard Realty Advisors; 10-year hold.
| Lender | KeyBank, National Association |
| Interest Rate | 5.11% (Fixed) |
| Loan Term | 10 years |
| Interest-Only Period | 7 years |
| Amortization | 30 years |
| Total Debt | $19.3M ($19,298,000) |
| In-Place LTV | 46.09% |
| Year 1 DSCR | 2.00x |
The offering enters at a positive going-in basis, an uncommon equity cushion. The purchase value (~$34.7M contribution / $35.3M in the use-of-proceeds) sits below the appraised "as-is" market value of $36,700,000 (September 2025), corroborated by a second appraisal of $36,740,000 (November 2025), meaning investors acquire below independently assessed value rather than at a premium to it.
The asset is newly constructed, minimizing near-term capital exposure. As a recently delivered community, it carries limited deferred maintenance and low functional-obsolescence risk over the hold, with the capital plan oriented toward stabilization rather than remediation—reducing the likelihood of unbudgeted capital calls that can erode DST distributions.
The submarket exhibits supply-constrained fundamentals. CIVAS forecasts the Richland submarket vacancy at roughly 4.2% over the coming year with rent growth near 2%, and demand is projected to outpace supply in the Benton-Franklin market—characteristics of a smaller, less-overbuilt Pacific Northwest market that support the lease-up and rent thesis.
The capital structure is moderately levered with fixed-rate agency debt. The Freddie Mac loan is fixed at 5.11% with a seven-year interest-only runway at 46.09% loan-to-cost, producing a 2.00x Year-1 debt-service coverage ratio that rises to 2.25x by Year 7 before amortization—substantial coverage headroom and insulation from rate volatility through the I/O window.
Concession burn-off provides a defined stabilization runway. Year-1 economic occupancy of 80.5%, depressed by ~9% concessions on a lease-up asset, is modeled to normalize toward ~90% as concessions fall to ~1%, driving the projected distribution from 4.43% to a 5.54% peak—an identifiable, execution-driven income ramp rather than reliance on speculative market appreciation.
The offering pairs a newly delivered 144-unit multifamily asset with a positive going-in basis to appraisal and moderate fixed-rate agency leverage. The Freddie Mac loan (5.11% fixed, seven-year interest-only, 46.09% loan-to-cost) insulates cash flow from rate volatility and produces a 2.00x ascending-to-2.25x DSCR through the I/O period. The Tri-Cities submarket offers forecast low vacancy (~4.2%) and positive rent growth, and the business plan rests on a concrete concession-burn-off stabilization path from ~80.5% to ~90% economic occupancy. New construction limits near-term capital risk, the purchase below appraised value provides an equity cushion, and the distribution schedule rises from 4.43% to a 5.54% peak over the hold.
The entire return thesis depends on lease-up execution: Year-1 economic occupancy of just 80.5% (with ~9% concessions) must climb to ~90% as concessions fall to ~1%, and a slower-than-modeled absorption of this newly delivered asset would directly compress distributions. Revenue flows through a newly formed, thinly capitalized affiliate Master Tenant, so the Trust's cash flow depends on the Master Tenant performing under the master lease while bearing the residential lease-up risk. The investment is a single 144-unit asset in the secondary Tri-Cities market, economically anchored to Hanford-site / PNNL government and agricultural employment—a narrower, single-employer-sensitive demand base than primary multifamily markets. Amortization onset in 2033 (Year 8) lifts total debt service from ~$1.00M to ~$1.26M, cutting cash-on-cash from 5.54% (Year 7) to 4.67% (Year 8) and DSCR from 2.25x to 1.84x. Finally, the loan matures December 1, 2035 with yield-maintenance prepayment penalties through mid-2035, so the 10-year hold must thread a sale or refinancing around the maturity and prepayment window, and the loan-to-appraised-value (~52.6%) exceeds the 46.09% loan-to-cost basis.
The analysis below is Baker 1031's educational opinion — not investment, tax, or legal advice, a recommendation, or a guarantee, and it does not replace the offering's Private Placement Memorandum (PPM), which governs in all respects. Read the PPM and consult your own CPA and attorney before investing.
The offering reads as a core-plus multifamily DST structured as a lease-up/stabilization play on a newly delivered asset, levered moderately with fixed-rate agency debt. The risk-adjusted profile is distinguished by a rare positive going-in basis (purchase below appraisal) and a supply-constrained Tri-Cities submarket, balanced against genuine execution risk on absorbing Year-1 economic occupancy of ~80.5% toward ~90% and reliance on a thinly capitalized affiliate master tenant. Feasibility of the 4.43% to 5.54% distribution schedule hinges on concession burn-off and Richland rent growth materializing as forecast; the Year-8 amortization step-down (to 4.67% cash-on-cash and 1.84x DSCR) and the December 2035 loan maturity define the exit window. The 4.92% average cash-on-cash reflects moderate leverage and the early-year lease-up drag, while the seven-year interest-only period and the appraisal cushion provide downside support relative to a stabilized, full-priced acquisition.
The analysis below is Baker 1031's educational opinion — not investment, tax, or legal advice, a recommendation, or a guarantee, and it does not replace the offering's Private Placement Memorandum (PPM), which governs in all respects. Read the PPM and consult your own CPA and attorney before investing.
| Metric | This Offering | Market Avg. | Assessment |
|---|---|---|---|
| Avg. Income | 4.92% | 5.04% | Meets Average |
| Income Growth | 25.06% | 33.66% | Below Average |
| Peak Income | 5.54% | 5.95% | Meets Average |
Starboard Realty Advisors
Starboard Realty Advisors is an Irvine fully integrated firm, founded in 2014 and led by a CEO with prior Passco pedigree, acquiring multifamily and multi-tenant/NNN retail for 1031 clients, with more than $500 million in acquisitions and over 1,900 units. Its differentiation includes a DST Bridge Fund that supplies preferred equity, an ADU-driven multifamily value-add angle, and a disciplined 7-to-10-year stabilized hold model. The leadership lineage and integrated execution position it as a focused mid-market sponsor.
Learn More About Starboard Realty Advisors →Documents for this offering. Available to signed-in investors.
Securities offered through Aurora Securities, Inc. (CRD #46147 / SEC #8-51322), member FINRA / SIPC; Baker 1031 Investments, LLC is independent of Aurora Securities, Inc. and is not a registered broker-dealer or investment adviser. This is not an offer to sell or a solicitation of an offer to buy any security; any offer is made solely by the confidential private placement memorandum (PPM), which qualifies all information herein in its entirety. Delaware Statutory Trust interests are speculative, illiquid securities offered under Rule 506(c) of Regulation D and sold only to investors whose accredited-investor status has been verified; offering documents and subscription materials are provided only after that verification. They involve substantial risk, including possible loss of the entire investment.
Distributions, yields, the cap-rate equivalent, DSCR, occupancy, and benchmark figures are sponsor estimates or projections, are not guaranteed, and may differ materially from actual results. Any tax-adjusted yield assumes a 40% effective rate for non-1031 cash investors and is not tax advice. No tax, legal, or investment advice is provided — consult your own CPA and attorney. Past performance does not guarantee future results.