#1 Buying Right

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​There is no alternative to buying at the right price!  All our properties will usually be bought below retail value allowing for an instant equity capture. Also, it must have an above average cap rate and be cash flowing. This high-disciplined approach to asset selection and underwriting allows us to mitigate risk from the outset. We are able to have access to these off-market deals because of a strong and trusted relationship with brokers that we partnered over the years.  

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We focus on acquiring already reasonably stabilized properties, with great growth potential through optimum "value-add" and rent bumps. These are typically quality workforce housing - Class "B" and "C" located in growth markets where employment and population are trending positively.

 

Our target acquisition must have a value-add element through either new and more effective management, completing minor works and forced appreciation through improved tenant quality and retention. Of course, the goal is to be able to raise rents to increase NOI. And lastly, forensically review all property expenses and adjust (cut) accordingly.

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#2 Optimum Value-add

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Our value-add strategy is one of the main things we look at when evaluating a potential deal. There are many ways to add value to a property, some obvious, and some that take experience and much thought to find and implement. While above average cash flow from day 1 of a purchase is great, value-add strategies can lead to an accelerated increase in the overall worth of the property, allowing for an early refinance or sale if wanted.

 

​A good asset can only be made great with a strong repositioning master-plan that can bring forth its true potential and market value. This requires a keen eye and expertise in identifying the high payoff initiatives which translate to meaningful enhancements that benefit our tenants. 

 

A good repositioning master-plan need not be a heavy cost burden. On the contrary,majority of value creation comes from management and operational efficiencies. The key is in identifying capital expenditures that have a multiplier effect on asset value. As a result, new ownership can be confident in not only meeting return metrics, but exceeding them through consistent performance
and continued appreciation.

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​​​#3 Consistent Cashflow​

 

Cashflow is the bloodline of any investment, and real estate is not different. Our objective is to implement aggressive asset management, renovation, repositioning and disposition of “value-add” apartment assets. The goal is to expeditiously resolve problem issues with the purpose of increasing net cash flow and in turn increasing the market value to the subject property.

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In order to bring rental rates to market rates and stabilize the occupancy, properties are renovated within the first 6 months of the acquisition, problem tenants are evicted, the qualification standards are raised for all residents and an aggressive leasing program is implemented. Following project stabilization, a suitable exit strategy can then be implemented. Refinance to pull out funds and hold for future appreciation, or sell for new value created from repositioning/renovation. A strong cash flowing asset is also integral to our overall capital position and asset-backed investment.

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#4 Trusted Relationships​

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Our trusted relationship is the foundation of our business. We maintain a long-term view of business relationship, we know that trusted relationships are forged over time and tested when we consistently prove our worth through sound investment advice, shared expertise and sensitivity to investor's needs. Ultimately, trusted relationship leads to enduring friendship. This is how we are able to have access to a a diverse client base as well as off-market deals from a wide network of brokers and friends.