Multifamily with Prime Invest
Prime Invest identifies, structures and realizes Multifamily
Multifamily is the pearl for a real estate investment in the USA
Multifamily in the USA is the most attractive property market in the USA, which is historically proven.
In America, many institutional investors specialize exclusively in this market segment. In Germany, too, this realization is catching on, as more and more private and institutional investors are dealing with Multifamily.
The trend towards rental apartments that has intensified in recent years will continue on a sustainable basis:
- Largest economy in the world with positive growth forecasts
- Dynamic population growth, approx. 2 million persons p.a.
- 2nd place in the Global Competitiveness Report (2019); Switzerland 1st place; Germany 5th place
- World’s largest property market. Share in world market 25%, that is more than the entire European real estate market. 20% will be invested in Multifamily. American real estate markets are extremely liquid = high trading volume
- Job growth is a major factor of demand for rental housing.
- The Millennium, a population of about 80 million of 18 to 30 year olds, is pushing the rental markets
- Renting of living space accommodates the high mobility of the Americans
- The US tax reform favors the renting of apartments and increases the cost of home ownership
- Age-related loss of building substance
- Agglomeration on the metropolitan areas, especially on the secondary markets
Particularly attractive for our Real Estate Multifamily Investment is a short-term exit strategy, as institutional investors such as REITS or Pension Funds specialize exclusively in multifamily and are constantly looking for new multifamily investments because they are not allowed to do any development themselves. Alternatively, Multifamily is also suitable for portfolio construction.
Setting up a proprietary Multifamily portfolio as a long-term real estate investment means that the ongoing management of Multifamily investments is of particular importance. Prime Invest works with highly specialized multifamily management companies. A clear and on request very detailed reporting is the basis for a transparent real estate investment.
From the property to attractive living
From the beginning of construction to completion usually only takes 14 to 18 months. The first tenants move in earlier, because the first houses are already finished when the last one is still being built. After completion, the plant must still be leased for at least 95% for 6 months(stabilization), then the sale can be made to an institutional investor. Investment duration: approx. 20 to 36 months.
Multifamily from Prime Invest – preferred property investment in the USA
Realized Multifamily Developments
Fairfield Lakes, Pensacola, FL
268 garden style apartments. The investment started in January 2002,
after 32 months the plant was sold in November 2004. The return on investment for investors was about 21% p.a.
The project was realized with 3 investors.
The Lofts, Atlanta, GA
The Lofts at 5300 Peachtree, Chamblee, Atlanta
242 lofts. The investment started in September 2003. The project was successfully sold to a new investment company.
The project was realized with 8 investors.
Walden Legacy, Knoxville, Tennessee
236 apartments, investment beginning was May 2004, after 30 months the plant was sold in October 2006. The interest rate for investors was more than 30% p.a.
The project was realized with 11 investors.
Lakeside Place, Starkville, Mississippi
Students Housing Community for 500 students. Construction began in August 2005 and was completed in November 2006. The property was sold despite the crisis.
The project was realized with 1 investor
Watercrest Place, Killeen, Texas
In 240 apartments with 720 bedrooms, apartments were created, which are designed primarily for members of the military.
Construction began in October 2006, the property is completed and was sold at a profit despite the crisis.
The project was realized with 1 investor.
You would like to start a project with us?
Contact us, we look forward to hearing from you.
Multifamily is particularly well suited for a club deal and as a short-term investment. Building, leasing and selling to institutional investors can be realized in 20 to 36 months.
Multifamily individual investment
In the case of a single investment, the investor determines the exit strategy of the Multifamily investment. There are opportunistic and long-term investment strategies.
Multifamily I also particularly well suited for a portfolio construction. An early start, already in the development or the construction phase, increases the return for the stock considerably.