Investment Approach
I.
Identify
Property
II.
Acquisition Process
III.
Upgrade & Improve Property
IV.
Asset & Property Management
Rationale for
Apartment Investing
Demographic changes, changing attitudes towards home ownership and tighter mortgage underwriting continue to create a shift toward renting. The ratio of homeowners vs renters is shifting in favor of renters.
Additional demographic shifts such as the increase in the percentages of young professionals, “Echo Boomers”, together with increasing immigration, are bringing about households that overwhelmingly favor renting. They prefer renting due to its low maintenance nature and the mobility it provides. Last but not least, the continued trend to defer marriage until later in life has proved a boon in demand for apartment living.
Read More
In addition to the above demographic and economic factors which have increased the demand for rental housing, there are other factors that make the investing public favor apartment investment. To point out a few advantages:
- They are an excellent hedge against inflation, especially when leveraged appropriately.
- Short-term leases give the owners the ability to quickly adjust rent to the inflation rate.
- They attract favorable financing terms from lenders as it is the asset class with which
they are generally the most comfortable with. - They are considered the most reliable investment for wealth building.
- They provide the lowest downside risk in economic downturns as there is always demand for shelter and thus vacancy in apartment buildings is less affected when compared to other sectors of the real estate industry.
- Apartments have shown far greater resiliency in holding their value during market downturns.
- The negative change in value in the down cycles for apartments is roughly one-half to one-third less severe compared with the office, industrial and retail sectors.
- The apartment sector typically performs best in a rising interest rate environment.
- Investors are generally more comfortable with apartments as a product type.
Read More
In addition to the above demographic and economic factors which have increased the demand for rental housing, there are other factors that make the investing public favor apartment investment. To point out a few advantages:
They are an excellent hedge against inflation, especially when leveraged appropriately.
Short-term leases give the owners the ability to quickly adjust rent to the inflation rate.
They attract favorable financing terms from lenders as it is the asset class with which
they are generally the most comfortable with.
They are considered the most reliable investment for wealth building.
They provide the lowest downside risk in economic downturns as there is always demand for shelter and thus vacancy in apartment buildings is less affected when compared to other sectors of the real estate industry.
Apartments have shown far greater resiliency in holding their value during market downturns.
The negative change in value in the down cycles for apartments is roughly one-half to one-third less severe compared with the office, industrial and retail sectors.
The apartment sector typically performs best in a rising interest rate environment.
Investors are generally more comfortable with apartments as a product type.
Investment Approach
and Strategy
Univest’s goal is to provide a safe haven for its partners’ capital by investing in low risk real estate opportunities that generate healthy cash on cash returns with potential for significant capital appreciation.
We look for apartment communities in high demand, supply constrained markets that have under-market rents and/or have sub-par performance due to mismanagement.
Read More
While major players and institutional buyers focus on Class A and trophy properties, we instead concentrate on finding well-located Class B/C properties which can offer significant upside in rents via renovation and repositioning. We look for underperforming assets that are poorly managed and/or are in need of modernization and good maintenance practices.
In our diligent research, we look at detailed market fundamentals, and demographic and economic trends.
The following factors are considered:
- Population growth
- Immigration and in-migration trends
- Job creation and employment growth potentials
- Housing fundamentals
- Availability of educated and/or skilled workforce
- Proximity to retail and commercial centers
- Accessibility to transportation networks
While Univest provides acquisition, financing, and asset management expertise, it also oversees all property management operations through its sister company, Pelican Realty Management, with a CPM (Certified Property Manager) at its helm and with over 20 years of experience managing and renovating apartment communities.
We roll up our sleeves and work tirelessly to improve our operation so that we can deliver superior results to our partners, while at the same time bettering the lives of our residents and the communities that we manage.
Read More
While major players and institutional buyers focus on Class A and trophy properties, we instead concentrate on finding well-located Class B/C properties which can offer significant upside in rents via renovation and repositioning. We look for underperforming assets that are poorly managed and/or are in need of modernization and good maintenance practices.
In our diligent research, we look at detailed market fundamentals, and demographic and economic trends.
The following factors are considered:
- Population growth
- Immigration and in-migration trends
- Job creation and employment growth potentials
- Housing fundamentals
- Availability of educated and/or skilled workforce
- Proximity to retail and commercial centers
- Accessibility to transportation networks
While Univest provides acquisition, financing, and asset management expertise, it also oversees all property management operations through its sister company, Pelican Realty Management, with a CPM (Certified Property Manager) at its helm and with over 20 years of experience managing and renovating apartment communities.
We roll up our sleeves and work tirelessly to improve our operation so that we can deliver superior results to our partners, while at the same time bettering the lives of our residents and the communities that we manage.
Asset
Management
At Univest we seek to preserve our partners’ capital and enhance the value of our investment through proactive and innovative asset management techniques. Our asset management team provides the following asset management services:
- Direct oversight of property operations and capital improvements
- Regular site visits and review of monthly financial reports
Read More
- Quarterly partnership reports and cash disbursements to partners
- Quarterly budget comparison and performance reviews
- Escrow, tax, and insurance analysis
- Constant evaluation of refinance and sales opportunities
- Monitoring and analysis of local real estate market conditions
- Management of the sales process and cooperation with the Brokerage network
Read More
- Quarterly partnership reports and cash disbursements to partners
- Quarterly budget comparison and performance reviews
- Escrow, tax, and insurance analysis
- Constant evaluation of refinance and sales opportunities
- Monitoring and analysis of local real estate market conditions
- Management of the sales process and cooperation with the Brokerage network
Why Invest
with Univest?
First and foremost, more than 25 years of successful performance in cash flow production and asset value appreciation; second, Univest managers invariably invest their own capital and take an ownership interest in the properties they acquire; third, the strong emphasis the Univest team places on integrity, accountability, entrepreneurialism, and transparency; and fourth, the team’s willingness to roll up its sleeves and take a hands-on approach to asset value maximization and cash flow generation.
Read More
With its solid and established track record, Univest utilizes proven criteria for selecting properties while being cognizant of limiting the downside risks. After doing extensive research for identifying the property, we do a thorough due diligence, acquire, and recapitalize the property. Then asset management, property renovation and management takes over and finally disposition and these are all done with low overhead and astute adherence to efficient management.
The senior management at Univest is comprised of experienced investment professionals who bring over 100 combined years of real estate investment expertise with over $750 Million of transactional experience in acquisition, management, renovation and disposition of multi-family projects.
Univest offers its investors and partners investment structures that create current income, preserves and grows the capital while taking tax advantages that are inherent in real estate investments. Our attention to detail, including thorough market research, risk analysis and operational expertise, has resulted in consistently producing attractive returns.
Read More
With its solid and established track record, Univest utilizes proven criteria for selecting properties while being cognizant of limiting the downside risks. After doing extensive research for identifying the property, we do a thorough due diligence, acquire, and recapitalize the property. Then asset management, property renovation and management takes over and finally disposition and these are all done with low overhead and astute adherence to efficient management.
The senior management at Univest is comprised of experienced investment professionals who bring over 100 combined years of real estate investment expertise with over $750 Million of transactional experience in acquisition, management, renovation and disposition of multi-family projects.
Univest offers its investors and partners investment structures that create current income, preserves and grows the capital while taking tax advantages that are inherent in real estate investments. Our attention to detail, including thorough market research, risk analysis and operational expertise, has resulted in consistently producing attractive returns.