top of page
  • Steven Fletcher

Don't Take the Bait

This might sound crazy to some


But there is such a thing as making your apartments "too" nice.


Layering marble into every corner of a unit doesn't necessarily equate to top of market rents.


Many more variables at play:


1.) Location (most important)- you'll have more more leeway to build nicer product in desirable markets but there's a firm distinction between Class A and luxury. Make sure you know where you stand.


2.) Square footage- the most beautiful 400 sq.ft apartment in the world is still 400 sq.ft and you'll be capped on the rents you can charge given the size of the space.


3.) Floor-plan/unit location- If the apartment has no natural light and an entrance that opens up to a bathroom, tenants won't care too much about the tile.


With that said, we renovate our buildings into Class A product and don't cross over into luxury.


We know our target tenant base (young professionals), where they want to live, and what they're willing to spend.


Through integrating all these variables, we ensure that we're maximizing quality and ultimately securing rental rates that justify the work.

Recent Posts

See All

Crossing T's and Dotting I's

One of the first things we do at the end of each month is review our account statements for each entity we operate. We have a good idea of what’s coming in and out but double checking these details al

Certainty Comes From the Actions We Take

One of the most important skills we’ve developed: The ability to move fast while still accounting for the details. After underwriting hundreds of properties, we typically know whether we have a deal o

Breaking Down Cash on Cash Returns

One crucial metric in multifamily real estate is the Cash on Cash (CoC) return. This metric helps investors evaluate the annual return they are earning on the cash they invested in a property. Let's b

Comments


bottom of page