Vanamor

In this months newsletter we recap what we saw in the economy and multifamily market in the Third Quarter of 2024.

Vanamor is pleased to announce that we have successfully acquired LuxLiv Apartments, a 62-unit, condo-built multifamily community in the highly sought-after city of Riverside, California. Strategically located just off the 91 freeway, a major corridor connecting the Inland Empire, LuxLiv represents a prime investment opportunity in a supply-constrained market. 𝗞𝗲𝘆 𝗔𝗰𝗾𝘂𝗶𝘀𝗶𝘁𝗶𝗼𝗻 𝗗𝗲𝘁𝗮𝗶𝗹𝘀: 𝗣𝘂𝗿𝗰𝗵𝗮𝘀𝗲 𝗣𝗿𝗶𝗰𝗲: $19,750,000 ($318,544 per unit | $232 per square foot) 𝗗𝗶𝘀𝗰𝗼𝘂𝗻𝘁 𝘁𝗼 𝗥𝗲𝗽𝗹𝗮𝗰𝗲𝗺𝗲𝗻𝘁 𝗖𝗼𝘀𝘁: 30%+ 𝗖𝗮𝗽 𝗥𝗮𝘁𝗲: 6.3% (T3 Income / Tax-Adjusted Expenses) 𝗣𝗿𝗼𝗷𝗲𝗰𝘁𝗲𝗱 𝗦𝘁𝗮𝗯𝗶𝗹𝗶𝘇𝗲𝗱 𝗥𝗲𝘁𝘂𝗿𝗻 𝗼𝗻 𝗖𝗼𝘀𝘁: 6.9% Our team is set to enhance LuxLiv Apartments through renovations, bedroom conversions, installation of solar, and other value-add strategies, positioning the property for strong future returns. Brian Eisendrath and Cameron Chalfant of Institutional Property Advisors (IPA) arranged the #debt financing for the acquisition with Freddie Mac. The seller was represented by Kyle Pinkalla with IPA. Mitch Surowitz with Gallagher provided A+ service on insurance with extremely competitive rates. Sunrise Management, based in San Diego, CA, will provide property management services, adding to their growing Vanamor portfolio. And, most importantly, thank you to all of our limited partners for your continued trust and support. Finding the right opportunities in a world of distress has become the reward for those that have remained patient and diligent over the past four years. Vanamor remains highly active in pursuing new opportunities throughout the United States that are Class A/B, newer construction with strong cashflow and significant upside through value-add strategies. Our strategy is built on a foundation of conservatism, utilizing low to moderate ~65% loan-to-value leverage on stabilized or near-stabilized properties. We partner with high-net-worth individuals, family offices, and middle-market focused institutions. If you’re interested in participating in future offerings, please contact a member of our team and/or register to our portal at https://lnkd.in/g-epYfRK.

In this month's newsletter, we focus in on the distress we are seeing in the multifamily sector as well as the shifts in supply and demand dynamics. It is an interesting time in the market and strong buying opportunities are ahead of us!

In this months newsletter we dive into what we have seen in the first half of the year and break down market timing and the opportunities ahead.

A little weekend reading…

Check out our latest monthly newsletter discussing the impact of rising cap rates and falling future supply. TLDR: Near-term headwinds ➡ long-term tailwinds

Great start to renovations at Reedville Meadows, in Beaverton Oregon, with 25% of the apartments renovated within the first quarter of operations. A modern design with the goal of maintaining property affordability and achieving a strong return on cost. The total cost breakdown: Full 2-tone paint: $950 Painted cabinet boxes with new cabinet fronts: $1,625 Luxury vinyl plank flooring / carpet in bedrooms: $2,375 Appliances: $1,594.60 Resurfaced countertops: $490 Black cabinet hardware: $135 Drop in kitchen sink & faucet: $430 Bathroom hardware: $97 Bathroom faucet: $55 Upgraded lighting: $350 Total: $8,101.60

Join Bobby Larsen and Evan Curtis on May 25 as they discuss the largest real estate drawdown since the GFC, where we are going from here, and why now is a good time to pay attention to multifamily assets. This event is a full day of great speakers, education, and networking opportunities. Sign up link below. https://lnkd.in/gfYKPqUQ