In May 2022, Oldtown acquired The Robertson Nashville, a 14-unit townhome complex in Nashville, Tennessee. The asset was acquired in an off-market transaction directly with the Seller.
The complex has a commercial zoning designation, allowing for both long-term and short-term rentals. Nashville is consistently recognized by AirDNA as the domestic top short-term rental investment market; however, in 2021, the City passed zoning laws prohibiting non-owner occupied short-term rentals (NOO-STR) for any residentially zoned property. This new barrier to entry led to a rapid appreciation of commercially zoned rental properties. Oldtown acquired the asset directly from the Sellers at a discount to the residential appraised value and a steep discount to market value as compared to similar NOO-STRs.