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Concepts

October 16, 2018

3 min read

Navigating the Waves: The Four Phases of the Multifamily Real Estate Cycle

Every investor knows that markets ebb and flow, and real estate...

  1. Recovery: The Recovery phase follows a market downturn. Vacancies start decreasing, but rents remain stagnant. It's a period of slow improvement, with reduced construction activity. This phase often presents excellent buying opportunities, as property prices are generally low.
  2. Expansion: As the market picks up steam, we enter the Expansion phase. New constructions increase to meet growing demand, rents rise, and vacancies decrease. This phase sees robust activity in the market, with higher property prices but also potential for significant appreciation.
  3. Hyper Supply: In the Hyper Supply phase, the market begins to become oversaturated. Construction activity outpaces demand, leading to increasing vacancies and stabilizing rents. Discerning investors will begin to adopt a more cautious approach in this phase, preparing for the potential downturn ahead.
  4. Recession: Finally, the Recession phase sees a significant slowdown. High vacancies and declining rents become more prevalent, and construction activity slows dramatically. It's a challenging phase, but for the savvy investor, it can also signify the upcoming recovery phase and potential buying opportunities.

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July 6, 2021

4 min read

Property, Asset, and Portfolio Management in Real Estate

In real estate, particularly within private equity, there are three...

In real estate, particularly within private equity, there are three crucial management layers that investors need to understand: property management, asset management, and portfolio management. Each layer has its unique roles, objectives, and functions, which this post aims to clarify.

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