VUE: Vested – United – Equity
As a group we are a long term holder of stable, cash producing assets that increase in cash flow and equity over time. We buy and hold long term multifamily apartments that drive safe and consistent returns, and plan to hold on to them forever-or at least until a better opportunity arrives. We only work with investors who share our same ideology and approach, and who are committed to long term wealth development. Investors who chase egregious returns, and quick turnarounds are not a good fit for Growth VUE Properties.
The Secret Sauce
Syndication is an effective way for us to pool our financial and intellectual resources to invest in properties and projects much bigger than than we could afford or manage on our own. We can move a lot faster when we work together, and as a result we gain access to a better more secure asset. Acquiring a bigger apartment is actually safer, because scale offers access to economics and financing that are otherwise unattainable on smaller projects.
- I have put together a team of professionals and advisers that when combined manage over 20,000 + doors and oversee $400 million in apartment assets.
- We are buying in the most economically strong markets in the country and 70% of our success due to proper market selection. This is why we like the South: Large populations, with the strong population growth, strong income growth, low unemployment and are extremely business and landlord friendly.
- Within our sub-markets, we look for 3 things: Good Schools, Low violent crime and strong income.
- Leveraging professional property managers not only ensures effective operations, but it gives us access to NON-recourse debt; which provides additional risk protection for everyone. Non-recourse debt limits any recourse to the property itself should the project go awry; and it protects banks from coming after our personal balance sheets.
- Always prepare for the worst and plan for the best. We build in safe guards like 2x vacancy rates and 30% contingent plans to ensure that any all things that could go wrong are covered in the business plan. If the deal still makes sense with all those safe guards, we will move forward. Otherwise, patience is the name of the game.
- With all that being said, apartments of this size are proven to be very safe on their own. During 2008 the default on commercial apartments loans was 0.04%.