Is New Construction the Best Play for 7-Figure Returns in 2025?

[Robert Ellis]

Hey BP community,

I've been deep in the new construction game, mainly focusing on triplexes in Columbus, OH. With rising interest rates and tighter lending, I see a huge gap in the market for small-scale multifamily developments—especially with the right financing and value-add strategies. 
For those of you developing or considering new builds:

• Are you seeing stronger returns with new construction vs. value-add rehabs?

• How are you structuring deals—SPVs, syndications, crowdfunding, or something else?

• What cities/markets are you seeing the most opportunity in right now?

I’d love to connect with more investors, builders, and capital raisers who are making this work in 2025. Drop your thoughts below!

[Drago Stanimirovic]

Hey Robert, New construction is definitely a strong play in 2025, especially for small multis like triplexes. In many cases, returns are beating value-adds due to tighter inventory and better control on build quality and rents. Columbus, Indy, Charlotte, and Jacksonville are hot right now. Most investors we work with lean on SPVs for flexibility, though syndications still have a place. Should you need any help with financing feel free to reach out. Regards, Drago