Many investors are invested in multifamily real estate with the preconceived idea that multifamily as an asset class is completely impervious to the effects of
The Federal Reserve’s aggressive interest rate hikes to combat inflation have caused significant stress on the economy, investment, and credit markets. Recently, the collapse of
Defensive strategies are important for both passive investors and active sponsors. Active sponsors need to proactively manage risks to ensure that they anticipate and adjust plan as necessary to ensure long term returns for investors.
Insurance is a necessary evil, in almost any business. More often than not, it makes economic sense to pay a premium to an insurance company
One of the advantages of investing in long term rentals is the ability to actively manage the investment. Unlike stocks and other investment vehicles, there is a level of control beyond just the ability to buy and sell the underlying asset.
We are coming up to the end of what has been a very eventful year in multifamily real estate…! It seems a long time ago
The three key factors that drive cap rates and the value of multifamily real estate are: cost of capital, the perceived inherent risk of the investment and the expectation of future growth.
In our experience with multifamily investments there are really three components to a great investment in the current stage of the market cycle – the quality of the asset and the story behind the business plan, an intelligent capital and debt structure, and operational excellence.
It is important to understand the major sources of risk when investing passively in a multifamily syndication. Risk can be mitigated, by ensuring that sponsors are actively managing the major risks. Lower risk investment opportunities do also exist for passive investors. A great example of this is a preferred equity investment.
I’ve invested in a number of syndications as a passive investor. As someone with experience in real estate and investing, I feel like I have
