Trulo Homes Cottonwood Creek is a 206-unit ground-up build-to-rent community in south Waco, Texas — single-family-style duplex rentals with private yards and private garages at I-35 and Bagby Avenue, adjacent to Central Texas Market Place and minutes from Baylor University. LV5 Capital co-invested through an LV5-managed SPV, and LV5's allocation is now fully funded and closed to new commitments.
The project is developed and sponsored by Red River Development under its Trulo Homes brand — a vertically integrated build-to-rent developer-operator with $599M AUM, 1,903 homes managed, and $1.5B+ of ground-up development experience. LV5 Capital co-invests through an LV5-managed SPV and does not solely own or control the project. SPV terms are disclosed transparently: an 8% preferred return then a 90/10 split, a 2% upfront due-diligence fee, a 0.5% annual fund management fee, and SPV admin costs of $5,000 upfront plus $2,000 per year.
The business plan targets a 24.5% IRR, a 2.01x equity multiple, and an 8.8% cash-on-cash return beginning around month 30, with a 5.50% projected exit cap rate and an 8.2% trended yield on cost. These are forward-looking projections, not guarantees. Ground-up development involves construction and lease-up risk, and cash flow is not expected until after lease-up begins.
Waco sits on the I-35 corridor between Dallas–Fort Worth and Austin, anchored by Baylor University, while build-to-rent communities capture renters priced out of homeownership and earn premiums over traditional apartments. Learn more about Waco, Texas real estate investing and build-to-rent investing in Waco.
This round is fully funded and closed to new commitments. Text the word WAITLIST to (419) 302-3940 or contact LV5 Capital to hear first about future LV5 offerings, or browse current offerings.
A 206-unit ground-up build-to-rent community in south Waco, Texas — single-family-style duplex rentals with private yards and garages at I-35 and Bagby Avenue, adjacent to Central Texas Market Place and minutes from Baylor University. Total project cost is $55.77M with conservative 65% loan-to-cost construction financing.
Red River Development — a vertically integrated BTR developer-operator under the Trulo Homes brand with $599M AUM and 1,903 homes managed — is the sponsor. LV5 Capital co-invests through an LV5-managed SPV and aggregates accredited investors; LV5 does not solely own or control the project.
The business plan targets a 24.5% IRR, 2.01x equity multiple, and 8.8% cash-on-cash beginning around month 30, after construction (~23 months) and lease-up, over a roughly 43-month hold. These are projections, not guarantees, and ground-up development carries construction risk.
An 8% preferred return then a 90/10 split, a 2% upfront due-diligence fee on the raise, a 0.5% annual fund management fee, and SPV administration costs of $5,000 upfront plus $2,000 per year — disclosed transparently in the offering documents.
No. The offering was open to accredited investors only, under Rule 506(c), with a $100,000 minimum, and LV5's allocation is now fully funded and closed to new commitments. Text WAITLIST to (419) 302-3940 to hear about future LV5 offerings.
This is not an offer to sell or a solicitation of an offer to buy any security. Any offering is made only to accredited investors through official offering documents.