Investment Criteria
Compelling Demographics
Median income must not be lower than 30% of gross rents, and the area must have good schools, employment opportunities, etc.
Rent
Growth
We target rent growth of at least 3.5% annually, providing strong potential for increasing rental income and returns.
Population
Growth
Target 2.5%+ population growth in primary markets & 4%+ in secondary markets.
Under-Served
For apartments, we target submarkets with strong historical occupancies of 94%+. For storage, we target submarkets with current supply of 9ft or less per capita.
Barriers to Entry
We place emphasis on submarkets with complexities that make new development difficult.
Location
Highly desirable locations with close proximity to major employment centers, offering convenient access to a wide range of job opportunities.
High Exitability
Opportunities that attract a broad and diverse buyer pool that demonstrates a high level of market interest and liquidity potential, ultimately achieving optimal return on investment.
Low Basis
Buying real estate at a low price per unit (or square foot) significantly reduces investment risk and enhances profit potential, making it one of the most critical metrics for ensuring long-term financial success and stability.
Cost Segregation
Cost segregation is a tax strategy for real estate investors that accelerates depreciation deductions. By reclassifying property parts to shorter periods, owners can decrease taxable income, save on taxes, and boost cash flow and investment returns.