Acquisition Criteria
General:
- Multifamily – Opportunistic, Value-Add, Distressed, Discounted or Defaulted, Class “C” or Better.
- Development Land/Projects – Discounted sites or projects in areas of High Growth and Profile.
- Located in growth markets where employment and population are trending positively.
- Have some aspect that permits a “Value-Add” opportunity, including:
- Above market vacancy;
- Above average expenses;
- Below market rent;
- Deferred maintenance;
- Any repairs which could be completed within 6 – 9 months;
- Ability to add units/rentable area;
- Additional land that could be sold independently;
- Has stable and sustainable cash flow in place at the time of purchase, or could achieve within a 3 – 6 month period of time;
- Prefer (but not require) a component of Seller/Owner Financing.
Property Type:
Primary emphasis on Multifamily properties, 50 Units and up.
Notes:
Single or Portfolio, very aggressively priced, most asset classes accepted as collateral, no upper limit.
Markets:
Primarily Southeast U.S., with emphasis on Florida, Georgia, Alabama and Carolinas. Will consider outside Southeast on a case-by-case basis.
Age of Property(s):
1965 or newer preferred, will consider older on a case-by-case basis.
Transaction Size:
$300,000 to $30,000,000 for single properties, no upper limit on portfolios.
Occupancy:
Value-Add, able to achieve break-even occupancy within 3 – 6 months. Prefer some occupancy, but vacant properties will be considered on a case-by-case basis.
CAP Rates:
Very competitive and varies with the quality of the income stream and the velocity at which it grows.
Hold Period:
2 – 7 Years for most properties. We will occasionally “Wholesale” a property if it does not fit our long-term holding criteria.
Leverage:
We will acquire properties that are “Free & Clear”, have existing debt to assume, or have a short-term “Owner Finance” component. If an “All Cash” Purchase is required, we must be able to realize a substantial discount below Full Market Value.
What to expect:
- Quick contract and Due Diligence turnaround, typically 30 days or less.
- Flexible and innovative deal structures to meet the needs of the Seller.
- Experienced and responsive team throughout the acquisition process.