Updated about 8 years ago on . Most recent reply
Achieve Investment Group Acquires First MultiFamily !
Hi BPers,
Achieve investment Group would like to announce about their first Multifamily Acquisition in San Antonio, TX. This is a value add 45 units apartment in South San Antonio. This acquisition marks the transition of Achieve Investment Group's investment strategy from Single Family Homes to Multifamily. The Apartment is a beautiful C Class asset with great upside potential. We captured almost 50% of equity as the appraisal came in 200K more than the purchase price. Here are the numbers.
Purchase price: $1.57 Million (34.8K per door)
Rehab: 155K.
Proforma: 12% Cash on Cash Return.
The Value add component is comes from expense reduction and rent increase. The proforma rent increase is merely $40 per door. Current expenses are at 62% of gross income. We plan to bring it down to more realistic 50-55% of gross income. It was managed professionally by one of the biggest property management company. That shows that great deals are not only presented by mom and pop operation but also by property management company.
This kind of deal is not available on market. This deal was found using our direct marketing strategy. We have to go through 25 off market deals to get this one deal.
Achieve Investment Group lead generation strategy has always been to look for off market deals where profit potential is the highest. We think its important to do that as the Multifamily market is at peak stage with many investors buying properties at ridiculous prices.
Only the Great Deals !
Most Popular Reply
Did Achieve Investment Group pay cash? Put in 30% and get a loan? Do you own 100% of AIG? What was your actual contribution and equity stake in the property.
When you use the term "equity capture", I know of one company who uses that term.
Give us some more details. I am sure that everyone is anxious to hear more.