PARK AT BAYSIDE

Park at Bayside is a 154-unit, four-story mid-rise apartment built in 2018 with wood-frame construction and brick exterior located in Rowlett (Dallas County), exhibiting good quality and condition. The 138.2K SF asset achieves 131.4K SF of net leasable area, yielding an 95.1% efficiency ratio typical for mid-rise multifamily. With a walk score of 22, the property is car-dependent and positioned in a suburban location east of Dallas. Parking type, unit-level finishes, pet policy, and utilities included in rent are not specified in available data.

Bayside commands a dense renter market but sits in an affluent suburban ring—a mismatch that pressures unit economics. The 1-mile core shows 58.9% renter occupancy with a $78.0K median household income and 25.8% affordability ratio, indicating workforce renters concentrated immediately around the property. However, the 3- and 5-mile radiuses shift sharply upscale: median incomes of $100.8K and $108.7K respectively, with 47.3% and 49.8% of households earning $100K+, while renter concentration drops to 27.8%–30.0%. This suggests Bayside anchors a renter pocket in an owner-occupied, higher-income neighborhood—demand is locally strong but lacks the suburban-scale renter base typical of Dallas multifamily. The 1-mile affordability ratio of 25.8% (versus 19.1%–20.6% in outer rings) signals the immediate submarket is cost-constrained, limiting pricing power relative to the property's positioning.

Appraisal Summary: Park at Bayside

The 2025 appraisal of $31.1M reflects a stark 1,775.4% year-over-year swing—almost certainly a prior-year revaluation correction rather than organic appreciation, signaling either a prior undervaluation or accounting restatement rather than market movement. At $202.1K per unit, the current valuation sits well below 2024-2025 median class-B/C comparables in major metros, suggesting either below-market positioning, distressed operating performance, or both. The land-value split ($3.1M, 10.0% of total) provides minimal redevelopment optionality; with 2018 construction, the asset is modern and best held as-is rather than repositioned.

Deteriorating operational execution masked by leasing team performance. The 4.0 overall rating reflects a polarized resident base: 66 one-star reviews (18.8% of portfolio) clustered around maintenance failures—AC units unrepaired for 4+ months, elevators non-functional, building cleanliness issues—versus recent leasing tours dominated by five-star praise for staff member "Nick." The rating uptick to 4.6 over the last 6 months is driven entirely by leasing activity (Feb 2026 reviews) rather than resident satisfaction improvement, signaling management is addressing lead generation but not underlying property condition. Maintenance responsiveness and deferred work orders represent material operational risk and likely resident turnover drivers post-lease commencement.