RSRC acquired a 51-unit Class B apartment property in a first-ring suburb of the Twin Cities, Minnesota. The acquisition was made off-market, as the seller was motivated by year-end tax consequences. Previous ownership was not maximizing operations, and the property was 100% occupied at closing at approximately 10% below market rents. The anticipated hold for the project is seven to ten years with a projected IRR of 16% and a current yield component of 9-10%. Project capitalization is $4.0 million and the stabilized cap rate was 6.0%. The project was financed with a $2.8 million Fannie Mae loan.