Sponsored Content - Why would you want to add a multi-family investment to your portfolio? Simply stated, investing in multi-family properties can boost your income for this high-demand asset class, says Chris Loeffler, CEO and co-founder, Caliber.
What Is A Multi-Family Property?
A multi-family property is any residential property that contains more than one housing unit. Duplexes, townhomes, apartment complexes, and condominiums are common examples of multi-family properties. New investors can find great investment opportunities with multi-family properties. Whatever way you choose to invest in a multi-family property, this investment can be a great wealth-building tool.
A core multi-family real estate investment requires a large amount of capital, as well as hands-on operating and asset management capabilities. In addition to sourcing a deal, which is challenging in the current environment, buying core real estate involves extensive due diligence. No small task in the current environment where institutional buyers can close quickly and have access to capital sources.
Caliber – The Wealth Development Company has a solution. Through a variety of investments, you can attain the benefits of multi-family investing without the burden of core real estate ownership. The Caliber team has a fully integrated platform that effectively handles all those tasks. A variety of multi-family investments are offered through Caliber’s funds:
Caliber offers an approachable, full-service investment experience managing over $440M in fair value assets under management and an estimated $550M in assets under development in commercial, residential, multi-family, self-storage and hospitality real estate in AZ, CO, NV, UT, and AK.
Through these investments, Caliber identifies, acquires, and develops multi-family properties. We compare purchase prices, short- and-long-term costs, and rental estimates, which is paramount to a successful multi-family investment. Multi-family investments require a little more attention than other real-estate deals, and Caliber’s first concern is always on the numbers, which will expose the true value of an investment property and reveal its bottom line.
Treehouse Apartments
Recently, Caliber sold Treehouse Apartments in Tucson, Arizona, for $23 million. The Company purchased the asset for $4.8 million in 2014, which at the time was approximately 70% below replacement cost. After an extensive $7.9-million renovation, which was completed in July 2017, the Company held the asset at a 10% cap rate on stabilized cost and subsequently sold it at an exit cap rate of 5%.
Roosevelt Townhomes
The Roosevelt is Caliber’s first development project in Tempe, Arizona. Situated on a two-acre parcel near 2nd Street and Roosevelt, the 39-unit development is within a short walk to the Farmer Arts District and on one of the last remaining sites in the highly desirable and coveted location near Mill Ave. Construction has been completed on this project and Caliber is currently leasing the units.
Now is the time to build your wealth and transform communities today with caliberco.com.