Successful results are the product of a well-thought-out plan, which is why we begin every project with a strategic process designed to maximize the value of the property––a process that starts the day we first set sight on acquisition.
1 Day – 2+ Years
Prescreen | Assess Opportunity | Drive By | Track Potential Acquisitions
2 – 4 Weeks
Market Research | Shop Rental Comps | Start Underwriting | Assess Value-Added Potential
3. DUE DILIGENCE & NEGOTIATION
2 – 6 Weeks
Physical Inspections | Unit Walks & Lease Audit | Financial Inspections | Staff Interviews | 200-point Due Diligence Checklist | Shop Debt Term Sheets | Deal Committee Review | 2-Year Budget
In all, we have a 200+ point checklist, which our dedicated team reviews again and again to assure we have all our checks and balances in place. Based on our findings, we work closely with our lender partners to obtain term sheets to help structure the deal to maximize reward vs. risk. Our Deal Committee review is the final step where a go/no-go decision is made – this is where our collective years of experience helps ensure all significant risk are adequately addressed. If a “go” decision has been made and our negotiated terms have been agreed upon, we proceed to the next phase: Acquisition – less than 4% of the properties we see make it through this stage.
30 – 45 Days
Business Plan/PPM | Debt Terms Finalized | Entity Formation/OPAGs | Finalize Dashboard | Equity Funding | Develop Value Add Scope | Rehab Kick-off & Planning | Staffing & Take-over Prep
5. VALUE-ADDED REHAB & REPOSITION
1 – 2 Years
Takeover & Transition | Renovate & Reposition Asset | Frequent Renovation Meetings | Property Management | Ongoing Site Visits
We believe a successful real estate investment should provide some level of cash flow throughout the life of the investment. By maximizing a property’s potential, we can accomplish this goal, in addition to capital preservation and appreciation at the time of sale.
6. ASSET MANAGEMENT
2 – 5 Years
Property Management | Review Performance Reports | Monthly Financial Reviews | Monthly Investor Updates | Conduct Site Visits | Quarterly Investor Statements | Annual K-1s/1099s | Generate Cash Flow
3 – 6 Months
Prep Property | Select Broker | Market Property | Close Sale | Make Final Distribution