Our Process
Our 4 phase acquisition process yields dependable returns while mitigating risk to principle
PHASE 1 - LOCATION
Identify and evaluate markets to achieve stable long term performance while mitigating risk
PHASE 2 - ACQUISITION
After identifying a suitable location, we utilize all tools at our disposal to locate a property that fits our strict criteria. Once identified, a comprehensive property evaluation is performed encompassing an inspection of all the building structures, an audit on the current leases, and a detailed market survey of neighboring properties
PHASE 3 - VALUE ADD
We typically target properties that have in-place cash flow, but seek to increase that cash flow over time by making both interior and exterior improvements to the property. Exterior improvements include improving the landscaping and painting of the building. Interior improvements include projects such as updating kitchens, bathrooms and flooring. This allows us to command significantly higher rents and improving the quality of tenants. This will help increase customer satisfaction and decrease tenant turnover, which will therefore increase our NOI (Net Operating Income).
PHASE 4 - CASH FLOW AND DISTRIBUTIONS
Cash flow and distributions are very similar to stocks that pay out dividends. With real estate, cash flow and distributions are a result of profits that are left over after all expenses are paid out. Our typical deal includes a preferred return, in which investors get paid a pre-determined percentage BEFORE any distributions are made. Distributions are payouts that are made when there is excess cashflow after all preferred return payments have been made. These will be based off of how much each investor has in their capital account.