The Development include

– A midrise multifamily with 735 apartments

-14 loft terraced houses (townhomes)

-57,000 SQF retail

– A modular assembly system for prefabricated houses with 125,000 SQF, 25,000 SQF of which office space

– public areas, common rooms and facilities for vocational training, education and innovation, Arts and Culture.

The exit strategy provides for a sale after completion and rental. With an investment horizon of around 6 years, an IRR of around 20% is expected.

Winning a tender competition

The plans for this extraordinary Investment multifamily for family office in Atlanta were rewarded by winning the public tender. As part of the Beltline project, which includes upgrading a 27-mile corridor along the old railway line, the Murphy Crossing area will be partially rebuilt on an area of approximately 81,000 square meters and existing buildings will be revitalized. Murphy Crossing, LLC (“Murphy”) has won a competition from the Atlanta Beltline (a subsidiary of the city of Atlanta) for the development of a mixed-use project on 20 acres (approx. 81,000 m2). The site, located about halfway between Downtown Atlanta and Hartsfield International Airport, was formerly a city market where farmers and growers brought their fruit and vegetables from remote areas for sale to local restaurants and households. This idea of ​​the public market is as old as the Middle Ages in Europe and just like in Europe, the economic viability of the city market decreased with the advent of supermarkets. As a result, the city market was closed in the early 1960s. The Murphy Place site is now to be revitalized as part of a major urban planning development.

The location has recently become attractive again as a mixed-use project for revitalization due to its location next to the Beltline. The Beltline is a 27-mile stretch of the former railroad line that circles Atlanta. The route was abandoned by the railways and bought by the Atlanta Beltline. The entire 27-mile length of the Beltline is reserved for pedestrians and cyclists. No cars or scooters are allowed. The Beltline is similar to the High Line in New York City – just much longer!

Investment multifamily for family office: accommodation with quality of life

As part of this Investment multifamily for family office, a mixed-use complex is being created, which includes 725 apartments, 14 loft apartments, 57,000 SQF retail, 28,000 SQF office space, a commercial center with an innovation center and low-emission production for modular components. Almost 500 jobs are created. A quarter to live and work. The rental of the apartments of the Investment Multifamily for family offices is aimed at milliennials, a group of people who are very hard on the rental markets and generate high demand. The apartments are accessed through a green shopping street with shops.

Affordable housing meets demand

Some of the apartments will meet the requirements for affordable housing and thus cover an enormous gap in demand. An aspect that is particularly interesting for an investment multifamily for family offices. After completion and letting, a sale to investors who have specialized in precisely this market segment is planned. The investment multifamily for family offices will therefore be completed after approximately 6 years.

If you are interested, we are happy to answer any further questions.

Retail and corner shops

In addition to chain stores, small, local shops will also offer their goods. A substantial part of the space is earmarked for food retail. Existing trees are preserved and the shopping street is also greened.

Own MARTA -Station

The plot of land intended for this investment multifamily for family offices is accessed by a MARTA stop (Metropolitan Atlanta Rapid Transit Authority) directly on the Murphy Crossing site and ensures the very best connection. The airport in the south with over 70,000 employees and downtown in the north can be reached in just 10 minutes.

Positive effect on the neighborhood

Murphys Crossing becomes a livable, urban space that, like its own habitat, consists of numerous residential, retail, educational and community spaces. The concept of such a sustainable village will have a positive impact on the neighborhood, as the location is literally adjacent to the Beltline. This neighborhood means that residents can go to other redevelopment projects along the Beltline. New, urban, high quality living space is emerging, including entertainment, additional retail and restaurant offerings and public venues. The MARTA stop also makes the location attractive for visitors.

Approximately 20% of the total property will be used for public areas, common areas and facilities for vocational training, education and innovation. Public areas include open, leafy venues for music and other performances, as well as public art exhibitions.

A covered farmers’ market, where suppliers of products “from the farm to the table” can be on site to sell their products, similar to the original city market, is also planned and offers the residents additional quality of life.

More informations

If you are interested in this extraordinary investment multifamily for family offices, we are happy to answer any questions you may have. Do not hesitate to contact us, we look forward to your call.

You are welcome.

Real value investments as a club deal from Prime Invest

Prime Invest structures club deals in the areas of investment aircraft, multifamily and real estate investment.

Der Beitrag Investment multifamily for family office erschien zuerst auf Prime Invest GmbH.

Prime Invest is currently preparing a new Multifamily Investment for semi-professional investors in the Southeastern United States. An investment in the development of a multi-family residential complex in the US is characterized by short investment time and high income opportunities. The demographic data speak for themselves: research agencies predict sustainable demand for residential real estate. Current developments and the new demands on living space by the population of the Millennials are setting new standards. Meeting these is a challenge to the industry.

Booming residential markets

The residential real estate markets in the USA are booming. While the peak in the Tier 1 cities, e.g. Washington DC and Boston is already reached, the demand in the so-called secondary markets is unbroken. These are about 70 metropolitan areas in the US, which have also proven in the past as a hotspot for in Multifamily Investment.

Facts

There are many reasons for a multifamily investment:
• The US is the largest economy in the world
• Positive growth forecasts are forecast
• The USD is the most important world currency
• The US ranks second in the Global Competitiveness Report (2018), with Switzerland ranking first, Germany fifth
• Population growth is around 2 million people p.a. very dynamic
• The Millennials, a population of 80 million, pushes the rental housing markets
• The baby boomers, whose children are now out of the house, leave their homes and look for attractive rental apartments
• Substantial replacement demand for aging old stock
• The US tax reform favors housing for rent and makes home ownership more expensive
• New jobs are driving demand for rental housing: there are currently around 200,000 new jobs created in the US every month.
• Low correlation with European investments allows for advantageous diversification
• Diversification also possible within the USA

Prime Invest is currently preparing a new Multifamily Investment. A development of a residential complex with more than 300 apartments is in the planning. This investment is still available for a single investor. If necessary, Prime Invest also structures a club deal.

Exit strategy

The exit strategy provides for a sale after stabilization. Stabilization is achieved when the Multifamily Investment is 6 months 95% leased. The investment period will therefore be 3 to 5 years. For individual investments, the exit strategy can be individualized. We recommend short-term exit-strategy. The expected return is in the double-digit range.

Community of interest

The interest of investors is preceded by, only when a certain minimum interest (for example, 8% p.a.) has been achieved for the investor, the actors participate in percentage of the realized results. The actors also participate in the equity to be contributed. Thus a community of interest is formed among all participants.

Experienced partners with impressive track records.

This Multifamily investment is in preparation, there is currently no ready offer. If you are interested in investing in a Multifamily Investment, please contact us. We are happy to consider your individual requirements in the design of this investment opportunity.
We are always available for further questions. We look forward to hearing from you.
You are welcome.

Der Beitrag Multifamily Investment with Prime Invest erschien zuerst auf Prime Invest GmbH.

Even ten years after the crisis, the effects on the US real estate markets are still clearly felt. The banks are still hesitant about the financing, it is far from being built as much as it would be necessary. In the process, a new generation cohort is pushing for the residential real estate markets: the Millenials, a huge population of 20 to 39 year olds. This group of about 80 million people has enormous impact on the US multi-family markets with changed claims behavior. A sustainable boom on Multifamily is the result.

The millennials

The millenials differ significantly from other previous generations. They are significantly better educated and focus more on self-fulfillment and contentment in family and friends, rather than careers. Status symbols and prestige are no longer high on the wish list. In the past, home ownership was a symbol of having made it, rented apartments are increasingly becoming the focus. The experience of what happens when the mortgage on the home can no longer be served, has shaped this section of the population. In addition, the flexibility of a rental apartment is rediscovered.
Most millennials move from their parents’ home for the first time to their own home. Often there are still substantial repayments to pay for the studies, which favors the choice of a rented apartment. This has a significant impact on residential real estate markets: the home ownership rate dropped from 69.4% in 2004 to 64.2% in QI 2019. All signs point to this trend continuing for a long time. One can reasonably speak of a sustainable boom on Multifamily in the USA.

The Baby Boomers

The aged Baby Boomers, that is the generation of the vintages from the mid-1940s to the mid-60s, like to exchange their own home for an apartment when they are older. They show quite an elevated claim behavior. The children are out of the house, which has now become much too big. There is the choice of an upscale apartment in a good location to do very well. This reinforces the boom on Multifamily.

The construction activity

It is built less than it would be necessary. The banks are still reluctant to finance construction projects. The required share of equity is much higher than before the crisis. This complicates the business of project developers. The run on suitable plots in good locations has intensified. Each land purchase is subject to a bidding competition.

Multifamily defies market turmoil

But Multifamily is also a rock-solid, defying market turmoil better than other real estate markets. Even in times of crisis, revenues from Multifamily are more stable than those from other real estate segments. It always has to be used. Multifamily markets are also recovering faster after a recession than other real estate sub-markets. This emerges from a study by the largest global real estate consultant, the CBRE Group (CBRE Research CBRE Econometric Advisors, Q 4 2018.
Multifamily can therefore also be regarded as a comparative crisis-proof real estate investment.

Multifamily with Prime Invest

Prime Invest constantly identifies appropriate lucrative real estate investments and prepares them alone or in cooperation with well-known and selected partners. We focus on that

• Development of new residential complexes
• Refurbishment of existing residential complexes

A development offers higher returns, but also higher risk, because the rentability has yet to prove. Yields start to flow after the construction period.
In the case of refurbishment, the income flows immediately, the acceptance and thus the rentability of the location are historically proven. The return is slightly lower, but still attractive.
If you want to participate wit the boom on Multifamily with Prime Invest , we look forward to hearing from you. You are welcome.

Der Beitrag Boom on Multifamily in the USA erschien zuerst auf Prime Invest GmbH.

Hogan Lovells made the premises available to us at 4 locations and also covered the costs for the catering. Many thanks to Hogan Lovells and to the working groups of the immoebs.

The kick-off event for the lecture series Multi Family and Student Housing took place in the impressive conference hall of Hogan Lovells in Dusseldorf.

Multifamily, an overview

At the start to the lecture series multi family and student housing, Mr. Berndt W. Goßlau gave a first overview of Real Estate Investment in the USA. The US real estate markets are very different from those in Europe. Mr. Goßlau emphasized the special features and explained the unique selling points of Clubdeal Multifamily and Student Housing in the USA. These sub-markets offer the most attractive real estate investments, but they require special knowledge. They differ significantly from investments in residential real estate in Germany. Handling for Clubdeal Multifamily and Studentshousing is highly professional. Particularly noteworthy is the ongoing management of the residential complexes: with a rental period of about 9 to 12 months and about 300 apartments per condominium, there is a fluctuation of 10 to 20 apartments per month. But this also helps to constantly adjust the rents to the current rent level. The on-site management team handles this task and takes care of the tenants’ most diverse needs. Many institutional investors specialize exclusively in multifamily and student housing.

Legal matters

Lee Samuelson, partner of Hogan Lovells came from New York specifically to give us a first impression of real estate related law in the US. A seemingly impossible task, given the variety of issues, but nevertheless the lecture was very informative. However, the complexity of this area of ​​law requires an individual consideration of the respective case to be assessed or designed. This applies in particular to the USA, because not only the states have different regulations, but also the different regional authorities differ in their regulations.

Tax specifics

Dr. Schönhaus devoted himself to the taxation of real estate investments in the USA. Exhausting, important and yet something for professionals. Nevertheless, the basic understanding of these issues for a real estate investor who wants to invest in the US, is of essential importance. Fundamental questions of international tax law under consideration of the respective DBA (double taxation agreement) should be known to every investor.

Students Housing

Mr. Cecil Phillips, a student housing developer came to us from Atlanta to give us an insight into his interesting work. The number of students is increasing and universities can not provide enough accommodation for their students. This makes student housing very interesting for real estate investors. Months before the semester starts, the apartments are full. Fluctuation only takes place at the end of the semester and the students prolong their lease for the next semester. Lease agreements are made separately for each bedroom, so depending on the size of an apartment is secured with two to three leases. The parents are liable for the lease and any damage. The administration goes through every room on a monthly basis and bills the parents for possible damages.
The whole studenthousing concept is optimally adapted to the needs of the students. In addition to facilities that make contact with companies, the behavior of the students is also addressed:
We were astonished that Cecil told us that they even designed furniture designed especially for the needs of students: in the evening the roommate usually sits on the back of your friend’s armchair and cuddles against him, watching TV. So a chair was designed for one and a half person.

Resumée

After three days, all keyspeakers were exhausted, but satisfied. Nearly 150 professionals from the real estate industry came to our lecture series multi family and Students Housing. The questions during the lectures and the following networking show the great interest in Multifamly in the USA.

If you want to know more about Residential in the US or Clubdeal Multifamily, Prime Invest will be happy to answer any further questions.

Der Beitrag Lecture Series Multi Family erschien zuerst auf Prime Invest GmbH.