About
ARC Multifamily is an experienced real estate investment firm that operates efficiently in order to maximize the tenant’s experience and investor’s returns. We operate with full transparency, and strategically identify and acquire properties that fit our conservative model. Our underwriting process is intentionally conservative in order to be able to add maximum returns to our investors in line with projected returns.
ARC Follows A Syndication Process
Aquire Class A & B Assets
Our Acquisition Criteria – We purchase multifamily investment properties in targeted markets that meet our stringent underwriting standards. The characteristics of these markets include strong job growth and population growth. Our targeted acquisitions have occupancy rates of over 90% that provide cash-flow from day 1. We buy properties where we are confident that we can increase the value by implementing interior renovations, adding and updating amenities, and creating a beautiful community for people to live.
Sourcing Excellent Investments – We have a strong network of real estate brokers that work with us to identify investments in strategic locations. We find properties that offer upside to utilize our “value-add” strategy.
Arranging Optimal Financing – Using our network of lenders, we analyze different debt scenarios that allow us to conservatively leverage our properties and get the best financing available while maximizing returns and minimizing risks.
Add Value
Our value-add plans often include interior unit renovations, adding or upgrading amenities on the property, and improving the community for our residents.
ARC executes the business plan, transitioning the property management team if needed, and adding operational enhancements with the intention of reducing operational expenses, increasing efficiency, and thereby increasing the property’s net income. Renovations are focused on adding real value to the tenant experience, and include exterior and common area renovations, such as a dog park, playground, library, computer stations, and amenities. ARC intentionally commits itself to curating am optimal resident’s experience in order to maximize the value of the property.
Holding Time
Brokers providing comparables and opinion of value quarterly throughout the life cycle of ARC’s ownership, continuously pulsing the market to achieve the highest results. During this phase, ARC will refinance the property if beneficial, looking to increase investors cash-on-cash returns annually. A typical projected hold period for many of the investments offered is around 5 years from acquisition to final sale, though often the business plan is achieved in 2-3 years time.
The Asset Is Refinanced Or Sold
ARC works closely with leading multifamily brokers and the property management team to prepare the asset for maximum profit. In certain situations, when it makes sense, ARC will initiate a 1031 exchange. This provides investors with the opportunity to roll the proceeds of the sale into another investment, while deferring payment of capital gains taxes.