Gautam Goyal owned Three Pillars Capital’s Oklahoma Portfolio Generates Cash Windfall

In under two years, Gautam Goyal’s bet on residential real estate in expanding markets produces huge win

HOUSTON--(BUSINESS WIRE)--Three Pillars Capital (or “Three Pillars”) today announces the refinancing of a pair of Oklahoma-based properties, as well as the appraisal of assets that generated a value increase of nearly 90% from their March 2022 acquisition valuation.

“This is the latest in a series of increasingly visible victories for the team at Greenline Management, our in-house property management company,” said Gautam Goyal, Three Pillars’ Founder and CEO. “The team at Greenline did an amazing job onboarding the properties into Three Pillars’ portfolio, executing the business plan to turn around the assets through a deep value-add renovation program and improve management. This project, its timeline, and our results are exemplary of the distinct investment strategy that makes Three Pillars unique, and underscores our ability to roll up our sleeves to generate exceptional returns working with American small businesses and contractors that support our growing multifamily housing business.”

CBRE sourced the loan for Three Pillars’ March 2022 investment in the properties, located in Oklahoma City at 717 Santa Rosa Drive and 5560 N. Portland Avenue, which amounted to an equity contribution from Three Pillars of $14 million at the time of the transaction. Three Pillars’ appraisal and refinancing of the assets generated a $7 million return on investment immediately for investors, at a time when higher rates are challenging commercial real estate investors. Thanks to its core operational focus in property investing, Three Pillars continues to successfully and selectively manage property cash flow and pay dividends to fund investors.

“For sponsors that purchased deals in 2021-2022, most have been required to transact with cash in refinances or settle for cash neutral refinances,” said Derek Fasulo, Senior Vice President with CBRE Capital Markets. “Many deals are not even qualifying given the significant gap between underwritten refinance dollars and the current loan balance. The Oklahoma City portfolio was one of the few assignments our team worked on in 2023-2024 that qualified for a cash out refinance.”

About Three Pillars Capital

Three Pillars Capital is a Houston-based, vertically integrated private equity firm specializing in Class B and C multifamily communities. Founded in 2017, the firm currently has over $600 million worth of assets under management, and has established a strong track record of providing investors with significant realized returns. To date, its investments include more than 4,000 residential units. With over two decades of combined experience, Three Pillars has a deep understanding of the market and valuable relationships across the real estate industry. The firm specializes in repositioning multifamily properties with value-add initiatives which generate returns for both investors and residents.

About Greenline Apartment Management

Greenline Apartment Management is a Houston-based operator of multi-family residences that is owned by Three Pillars Capital. Through a sophisticated, hands-on approach to property management, Greenline Apartment Management develops and operates high quality homes primarily in Texas and Oklahoma. Greenline Apartment Management was founded in 2017 by Joshua Welch.