REVIVA

FUNDAMENTALS DRIVE STRATEGY

Locations Evidencing Favorable Investment Criteria

  • Housing Supply/Demand Dynamics

  • Housing Affordability Metrics

  • Job Growth

  • Population Migration 

  • Municipal Investment

  • Private Sector Investment

  • Sustainable Rent Growth Trend

  • Supportive Demographics

  • Value Add Opportunities

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National Apartment Needs: Between now and 2030, the country will need to build 328,000 new apartment homes each year to accommodate household growth and losses to the existing stock.

 

Annual Construction: Utilizing the pace of construction for past 8 years as a baseline for projection of new apartment home supply, the demand will out pace supply by nearly 1,598,379 units.

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Property Age: Nationally, 59% of the apartment home housing stock was constructed between 1960 and 1999.

The projected shortfall of new supply (an estimated 1,598,379 units) relative to the demand for apartment homes will attract capital to the 1960-1999 vintage of properties because the cost-benefit of revitalization presents attractive opportunities for forced appreciation.

INVESTMENT CRITERIA

  • Property Type: Multifamily Value-Add opportunities in class A or B locations.

  • Property Location: Markets with conducive economic demographics, buoyant regulatory policies, job growth, business investment, and robust migration trends in the Southeast.

  • Property Size: 50 – 400 units

  • Property Age: Typically built between 1969 – 2006

  • Target Purchase: $5 Million – $50 Million

FORCED APPRECIATION

The Increase in the Market Value of an Enterprise Created by Implementing Effective Business ProcessesStrategic Action Creating Higher Revenue Stream and Multiple

  • Multifamily housing is a commercial enterprise characterized by decentralized ownership and a vast array of management practices ranging from unsystematic to highly systematic.

  • The primarily observable outcome of unsystematic management is below market income generation, above market business expenses, a dissatisfied customer base demanding a discounted price for the substandard product and resulting in below market revenue and multiples of value.​

  • Because REVIVA identifies and measures these factors in the risk assessment model the opportunity exists to:

  • acquire quality assets at prices reflecting the sub-optimal management; and

  • Apply best-in-class management systems proven to:

    • increase product demand;

    • improve customer satisfaction;

    • improve visibility;

    • increase revenues;

    • tightly manage costs;

    • produce transparent reporting.

All of which result in higher income generation during the holding period and higher multiples of value upon the exit.

REVIVA

Fundamentals Drive Strategy

Today, the market is in the early stages of a long term wave of capital investment which will flow into Vintage-Specific multifamily housing.

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LONG TERM OUTLOOK

Demand for Apartment Homes will Outpace Supply

Economic Models Published by Leading Real Estate Experts Forecast this Sustained Paradigm