Multi unit apartment buildings produce good cashflow and if acquired correctly and through implementing value-add strategies will lead to substantial increase in value.
What This Means To You:
Good yield and potential for gain
People will always need a place to live regardless of economic conditions. Historically, rents and occupancy for multi-unit apartments do not significantly go down during recessions.
What This Means To You:
Stable, low risk return
It has been found that Millennials tend to rent longer than previous generations. This is putting an upward pressure on rents and occupancy, which in turn leads to increase in value.
What This Means To You:
Higher potential for gain
Investing in apartments provide stable, low risk yield and good potential for gain.
Interested?
Click the button below to talk to Mike Ealy or one of our Investors Relations Officers.
We always buy BELOW market value or at a discount vs. what we can make the value of the apartment be during the time we hold on to the investment. Buying at the right price helped us to actually THRIVED during the Great Recession of 2008-2009 and enables us to achieve DOUBLE DIGIT returns.
We never buy an apartment building unless we can increase its value. We like to buy apartments from owners who kept their rents lower than market because they have not kept up with the maintenance of their building. Once we solve this problem, we see substantial increase in value.
We buy in the right neighborhoods within a sub-market. We want to invest in neighborhoods where population and jobs are growing. This leads to increasing rents and occupancy, which results in increasing NOI and value. Due to our recent strategic moves, we can now buy apartments across the US.
Purchase Price & Renovation Costs: $450,000
Sales Price: $1,600,000
Total Profit: $1,100,000
Time Frame: 6 years
Main Strategy:
Creative leasing (to a government housing
program) to get to 100% occupancy in 60 days (from 16% at acquisition)
Purchase Price & Renovation Costs: $2,300,000
Sales Price: $3,500,000
Total Profit: $1,200,000
Time Frame: 3 years
Main Strategy:
Value-add (improve unit finishes) to increase rents from $550/mo to$679/mo
Purchase Price & Renovation Costs: $2,200,000
Sales Price: $3,700,000
Total Profit: $1,500,000
Time Frame: 2.5 years
Main Strategy:
Significantly improve the property and its Net
operating income through energy audit and improved operations
NASSAU INVESTMENTS
3559 Eden Ave, Cincinnati, OH 45229
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