Targeted Investor Returns and Advantages of Ownership
• Annual cash flows distributed to investors 6-8% (paid quarterly)
• Average IRRs 15%+/- annually through capital appreciation upon sale
• Equity build up overtime as loan principal is paid down from cash flow
• Use of leverage increases return on equity
• Tax efficient investment due to deal structure and depreciation pass-through
• Not correlated to other asset classes. Protects against stock market volatility
Our Investment Criteria:
• Class B/C properties in secondary markets
• Workforce housing, 150 units+ (prefer 200-400), late 80’s vintage or newer.
• 90% occupancy or better. Cap rates 5.5%-7%
• Value-add deals, typically invest $5k-$15k per unit to upgrade and looking for monthly rent increases $100-$150 per unit
• Purchase price $10mm-$40mm Equity $3mm-$15mm per deal
• Open to Co-Sponsorship opportunities
At Acuity, our core real estate strategy involves identifying and acquiring commercial multi-family properties, with an emphasis on workforce housing in robust markets. Our Metropolitan Statistical Area (MSA) analysis concentrates on metrics of positive population, employment and income growth, strong infrastructure, diversified local economy and a favorable business climate. We typically underwrite/review over a thousand deals a year looking for healthy operating metrics and value-add opportunities that can be acquired at favorable prices.
Our strategy will help you and your family create multi-generational wealth. Our objective is to identify projects that will provide current cash flow, preservation of capital, and tax-efficient capital appreciation. We hope to meet our objective by acquiring stabilized Class B/C properties in secondary markets that may be considered value-add opportunities.
As sponsors we take pride in our stewardship and confidently invest alongside our clients. We effectively finance these properties through syndicated equity and debt. Our investors benefit by pooling together their financial resources to acquire 150-500 unit properties that otherwise would be out of the scope of an individual investor. Our strategy involves careful planning, a stringent due diligence process, well-executed asset management plan and patience.
Purchase Date: December 2020
Property Class: B+, Units: 106
Press Release: Acuity Partners adds 106-unit Property to its Portfolio
Purchase Date: March 2020
Property Class: B+, Units: 330
Press Release: Acuity Partners adds 330-unit Property to its Portfolio“
Purchase Date: July 2016 – $11,800,000
Sold Date: March 2020 – $17,200,000
Property Class: B-, Units: 212
Purchase Date: February 2019
Property Class: B-, Units: 164
Purchase Date: December 2018
Property Class: A Luxury, Units: 152
Purchased Date: December 2016 – $3,150,000,
Sold Date: July 2018 – $5,000,000
Property Class: C-, Units: 118
Purchase Date: February 2018
Property Class: B, Units: 270
Purchase Date: June 2017
Property Class: C, Units: 254
Disclaimer:
This site is operated by Acuity Partners LLC (“Acuity Partners”), which is not a registered broker-dealer. Acuity Partners does not give investment advice, endorsement, analysis or recommendations with respect to any securities. Acuity Partners has not taken any steps to verify the adequacy, accuracy or completeness of any information. Neither Acuity Partners nor any of its officers, directors, agents and employees makes any warranty, express or implied, of any kind whatsoever related to the adequacy, accuracy or completeness of any information on this site or the use of information on this site. Investing in any of our offerings poses risks, including but not limited to credit risk, interest rate risk, and the risk of losing some or all of the money you invest. (1) Past performance is no guarantee of future results. Any historical returns, expected returns, or probability projections may not reflect actual future performance. (2) conduct your own investigation and analysis; (3) carefully consider the investment and all related charges, expenses, uncertainties and risks, including all uncertainties and risks described in offering materials; and (4) consult with your own investment, tax, financial and legal advisors. Investments are only suitable for accredited investors who understand and willing and able to accept the high risks associated with private investments. Neither the Securities and Exchange Commission nor any federal or state securities commission or regulatory authority has recommended or approved any investment or the accuracy or completeness of any of the information or materials provided by or through the website. Investors must be able to afford the loss of their entire investment. Investments in private placements are speculative and involve a high degree of risk and those investors who cannot afford to lose their entire investment should not invest.
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