Multifamily Development Advisory
MDA is the 1st touchpoint for multifamily asset holders & larger land parcel (20k sf +) for discussion of re-development viability.
Real estate investing is like any process; experience leads to evolution and insight of the investor. Investors that I work with begin their journey with 2-5 individual assets/doors in their introductory portfolio.
- Next step is transitioning those individual assets into smaller multifamily assets; 4-plex, 6-plex, 12, 15, 32 units.
At this point of leveraged equity capacity, diversity of investment strategy can happen by investing into development. 2 options are:
1) as an LP (Limited Partner)
2) develop on their own.
If the asset holder has enough equity and teamed with a development services provider to advise, they do NOT have to sell to a developer. They are able to develop on their own -without the need of a 'partnership' with a developer.
- This is where Multifamily Development Advisory comes in.
MDA is the 1st touchpoint for multifamily asset holders & larger land parcel (20k sf +) for discussion of re-development viability.
Too many property owners are intimidated and left out of the development space.
Simply the thought of building a custom single family home can be a daunting and terrifying thought for those who have never participated. Now add 2x more zero's to the scale of the development; $1M to $100+M, is a stratospheric thought that too many multifamily asset holders resist to even consider. Yet the debt service ratio's are the same as when they 1st begun their investment journey and portfolio development.
Developing multifamily assets (mid density and concrete towers) is NOT ONLY for seasoned developers to take-on.
Private multifamily property owners can develop as well!
A development services company will advise on every step of the development.
- Viability Report
- Pre-construction financing - architects and development modeling
- Municipal re-zoning and approvals
- Construction financing
- General contractor; hire, liaise, oversight, operational accountability
- Property management - lease-up, tenant re-location, asset management post construction
- Asset sale and marketing
Monthly meetings and authorizing payment schedules can be the limits of the engagement that is necessary from property owners.
Non-Profits have been able to develop on their own. So can you!
Why a development services provider?
1) Oversight and accountability. The immense benefit to a 2nd opinion at every step of the development.
2) Development services can be obtained without giving up ownership as they can work on fees alone.
When working direct with a developer only, often ownership of the project will be expected to be negotiated and given/taken. Losing 40-60% ownership of your property and final asset is a substantial cost to consider within a partnership model.
CALL TODAY for your introduction to DEVELOPING YOUR OWN ASSET
FOR YOU, YOUR FAMILY, YOUR LEGACY!
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City-wide effects of new housing supply:
Evidence from moving chains
Abstract
We study the city-wide effects of new, centrally-located market-rate housing
supply using geo-coded total population register data from the Helsinki Metropolitan Area. The supply of new market rate units triggers moving chains that quickly reach middle- and low-income neighborhoods and individuals. Thus, new market rate construction loosens the housing market in middle- and low-income areas even in the short run. Market-rate supply is likely to improve affordability outside the sub-markets where new construction occurs and to benefit low-income people.
"As new residents move into the newly constructed units, they
vacate their old units. These vacant units then get occupied by a new set of residents whose old units become vacant and so on."
"the moving chains triggered by these new units reach middle- and low-income neighborhoods quickly, within a year or two. Our register data also allows us to show that low-income individuals are part of the moving chains."