Fenway Community Development Corporation’s Post

Good data/research from data firm MSCI Real Assets that was shared with and summarized by Multifamily Dive. Apartment sales volume fell 11% to $7.5 billion in July. Cap rates sat at around 5.6%. Sales volume came in at about half the usual amount of the July average for the five years before the pandemic. It was also dramatically lower than June 2024’s volume, which was boosted by Blackstone Real Estate Partners X’s $10 billion purchase of Denver-based Apartment Income REIT Corp. Previous data indicate that as starts have fallen off dramatically in 2024, apartment developers continue to work through their existing projects, shrinking the remaining pipeline. At the end of July, 870,000 units were under construction, a 13.3% YOY decrease and a 1.5% month-over-month decline. 

Chicago multifamily market update From robust workforce housing demand to apartment layout revamping, here are four key trends Chicago real estate investors should watch in 2024.

"Now is a good time to buy multifamily assets". A decline in new units, expected rent growth, and values bottoming out all signal an opportunity in apartments. Reach out if you're interested in a list of off market opportunites. Chicago Title NCS Seattle #apartments #multifamily #realestate #realestateinvesting #cre #commercialrealestate

Multifamily through 2024: Looks like Floyd in this May-Weather⛱ 🌊 A Wave of Inventory on the Horizon: With each passing month, the horizon of CRE is adorned with the promise of new opportunities. As we move deeper into 2024, the industry anticipates a surge in inventory, offering a rich tapestry of options for investors and stakeholders alike. This influx of properties signifies a dynamic marketplace, ripe with potential for growth and innovation. ⏩ Steadfast Resilience Amidst Sectoral Shifts: Despite the anticipated increase in inventory, the CRE landscape remains steadfast in its resilience. Sectoral shifts and evolving market dynamics are met with adaptability and foresight, ensuring that the industry navigates these changes with poise and determination. This resilience underscores the enduring strength of CRE as a cornerstone of economic stability and growth. 💪 Continued Collaboration and Flexibility: Against the backdrop of change, collaboration and flexibility remain paramount within the industry. Lending institutions, investors, and stakeholders continue to forge partnerships built on trust and mutual understanding. This collaborative spirit fosters an environment of innovation and resilience, propelling the CRE sector forward into a future defined by opportunity and growth. Fluellen-Hoover Multifamily Group Marcus & Millichap

Insights from Lev Mavashev: New York City's Multifamily Market Set for a Turnaround in 2024 Read more below. . . . #investmentsales #NewYorkCityMultifamily #newyorkrealestate #nycre #commercialrealestate #investmentopportunity

There are indications that the multifamily market is beginning to recover from a choppy 2023 because of the interest rate plateau, according to a report on the first quarter of 2024 by Michel Commercial Real Estate. #MNMultifamily #ApartmentRentPrices #TwinCitiesRealEstate

Is multifamily real estate overbuilt? While home price increases have slowed since the frenzy of 2022, so has the pace of new multifamily construction. The cautious optimism in the market suggests that developers are adjusting to demand dynamics. As an investor, it’s essential to keep an eye on supply and demand balance, location trends, and the impact of interest rates. How are these trends going to impact the back half of FY 2024? Let us know your thoughts #multifamily #realestate #investing https://lnkd.in/eZzkXQUy

It was great speaking with Joy Wiltermuth of MarketWatch about what we’re seeing on the frontlines of the multifamily market, how big price dislocations are creating opportunity, and how we’re bucking the trend of negative rent growth.   We’ve always done things differently at The Connor Group and aggressively lean into opportunity when and where we see it, even if others are standing on the sidelines.   Read the full article: #multifamily #theconnorgroup #realestate #midwest

#Dallas: Even as the pace of new supply lowers rent growth, Dallas has remained the biggest multifamily investment market over the past several years. Additionally, it is the largest market with the lowest average prime multifamily cap rate. These trends are expected to continue, making Dallas the most liquid market for multifamily property investment in 2024. https://lnkd.in/gYSYzjSf #Investing #Realestate #CBRE

$150,000 flushed down the toilet. I began learning about Multifamily Apartment investing through syndications in 2015. Around 2017, I started attending meet-ups around the Dallas-Fort Worth area. In 2018, my husband retired and we began investing in these syndications. Russ was an international CFO and I have degrees in Finance & Real Estate, so, analysis is our "thing." Anytime that I have lost money on an investment, it was never because of the numbers or market conditions. It was because of fraud or ego. Those messy human factors that enter into financial dealings. Our bad investment is with SRCJJC Lubbock LLC, established on November 4, 2021 in Dallas. The management team includes key figures such as Chris Roberts, Jennifer Joyce, Peter Delfino, and George Arau. Several Texas-based multifamily syndicators have faced significant troubles recently (foreclosure lawsuits), driven by rising interest rates, increased debt costs, and a challenging rental market. You can search the internet for the details as this information appeared in the news. The following are people that I have met and/or attended their events: 1. Elevate, a Dallas-based syndicator led by Jorge Abreu (2017). 2. A&R Multifamily, established by Anna Simpson and Rajesh Gupta in 2019. 3. Wolfe Investments founded by Kenny Wolfe in 2012. 4. Applesway Investment Group led by Jay Gajavelli established in 2010. I don't have any investments with any of those syndicators, but you can make the observation that they all went into business after the last downturn and some of them were only in business a few years. Did you know that not all members of the management team have money in the deal? They make money when they close on the apartment complex through fees, similar to a broker. They also make money during the ownership for "managing" or "mismanaging" the asset. So, they stand to lose nothing when the project fails, except their reputation. But, hey, just open a new LLC and you're back in business. The Golden Rule of a reputable syndicator is "preservation of capital." If you can't deliver on the returns that were projected, make sure that your investors don't lose their initial investment. With equity investments, you can't get your funds back once the managment screws up. Good communication helps too! In my opinion, many of these syndicators took their eye off of asset management and were more concerned with growth and building their own wealth (# of doors). They also didn't have enough experience or reserves to weather the storms. What can you learn from this? Never invest money you can't afford to lose Never invest in something you don't understand Make sure the people that you are partnering with have years of experience through various market conditions And my personal favorite, get to know the people better and go with your gut! When God sends you a message...listen. It doesn't matter if the numbers work if you are dealing with the wrong people.