Investment Strategy

Value-Add:

Our core focus are value-add opportunities. These assets are typically well occupied at takeover but rent below market or have a clear value-add play, such as implementing utility bill-back. By implementing revenue-generators, curing deferred maintenance, adding and improving amenities, and taking steps to improve property appearance, we can usually continue to increase rents and generate substantial cash-flow for investors. A typical value-add play is $5,000-$9,000/unit in rehab budget.

Stabilized:

These assets are typically well maintained and have high occupancy at takeover. These assets typically provide strong cash-flow from day 1, and have an opportunity to increase value through moderate interior upgrades. The rehab budget is typically on $1,000-$3000/unit.

Distressed:

These assets tend to have lots of deferred maintenance and suffer from high vacancy. With a strong rehab budget, these asset can typically be turned around and brought back to stabilization in 12-24 months, afterwards providing significant cash-flow or value for investors. The typical rehab budget is $6,000 to $15,000+ per unit.

Successful Investing comes down to 4 vital criteria: We need the right investor, the right property, in the right area, at the right time.

A blog to learn how to invest in commercial real estate.

THE RIGHT INVESTOR

  • Accredited Investors that earn $200,000 a year, a household income of $300,000 or have a $1,000,000 net worth.
  • Investors that want to be part of a experienced real estate investment team
  • Investors that that want to create financial freedom through real estate.
  • Investors that understand the power of passive income

THE RIGHT PROPERTY

  • Multi family properties that are 20+ units
  • Multi family properties that range from $1MM – $10MM
  • Multi family properties that have “Value Add” components leaving signification cash flow opportunity
  • Multi family properties that are in emerging markets (great job and population growth)
  • Multi family properties that provided a 7-10% cash on cash return and a minimum DSCR (Debt Service Coverage Ratio) of 1.25
  • Multi family properties that are in C- to B+ neighborhoods and condition.

THE RIGHT AREA

  • Job Growth: Is the local government committed to attracting jobs and making it easier for companies to grow?
  • Population growth: Are there attractive reasons why people would want to uproot their lives and families and move there?
  • Rents are continually raising: Are rents continue to go up as more jobs are created and more people move into the area?
  • Property values are consistently going up: Have property values shown a consistent trend of increasing over time and with the other 3 above it is projected to continue?

THE RIGHT TIME

  • Right before explosive growth is about to happen
  • The area is in the middle of a steady climb
  • Right before a large company is going to open up operations in that city creating more opportunities and more jobs
  • When a property has deferred maintenance and poor management making the price lower and the opportunity greater
  • Before a property hits the market
  • 01 - CALL

  • 02 - INVESTMENT PLACEMENT

  • 03 - MONTHLY MEETINGS

  • 04 - SALE

  • 05 - REVALUATE

PATH OF PROGRESS STRATEGY

Acquisition: 

 

How we work:

 

 

 

 

The primary goal of INTRARE is to preserve the initial investments of its investors while providing larger than normal cash on cash returns. We do this through investing in value add, B & C level multi family apartment buildings that are in emerging markets and position to appreciate in 3-7 years. We buy with the an exit strategy already in place. Historically, multi family apartment buildings have been the strongest and most reliable investment due to their ability to remain strong during economic uncertainty. When real estate markets crash, often multi family investments become more lucrative due to people’s desire to rent.

The trend speaks for itself. Millennials want to rent rather than own. Due to the lack of supply of multi family properties the future holds a rental market shortage which makes these properties more valuable and a more powerful investment vehicle.

MULTI-FAMILY REAL ESTATE INVESTMENTS

Enjoy passive real estate income without the hassle of management.