Why Invest in Historic Properties?
- Historic preservation is, in and of itself, sustainable development
- Rehabilitation of historic properties is a sound historic preservation strategy
- Adaptive re-use of historic properties connects us to our cultural heritage
- Historic buildings often already embody significant energy savings
- Razed buildings are frequently replaced with 'new' buildings constructed with more energy consumptive materials
- Less expensive to renovate than demolish and build new due to historic tax credits and building code adaptations
- Historic preservation is the ultimate in re-cycling
- Properties within local historic districts typically appreciate at rates greater than the local market overall
- Values of historic properties are less susceptible to the volatility of real estate markets during economic downturns
- Use of state and federal historic tax credits to re-purpose historic buildings enhances local economic activity
- Artfully constructed historic buildings elevate our souls, inspire us, and make us feel more alive
- Historic properties are often well suited to be re-purposed for quality affordable housing in the United States
Why Invest in Multifamily Properties?
- More stable than the buying individual stocks
- Less competition than residential real estate investing
- Less risky than most other investments since these investments are secured by a tangible asset
- Easier to understand than other types of commercial real estate (e.g. industrial land, office building, shopping center, etc.)
- Typically provides greater cash on cash return than comparably valued investments in single family homes
- Lower cost per unit than single family homes
- Can 'enhance' appreciation of a property without relying on the real estate market to rise
- Sheer power of multiple living units provides greater opportunity for leverage of money and time
- Easier than single family homes to manage and consolidate
- Tax benefits (depreciation, cost segregation, possible deferral of income taxes, etc.) to ownership of multifamily properties
- Availability of 'like kind' 1031 exchanges if both relinquished and replacement properties are of qualified use
- A great hedge against inflation since rents typically increase with inflation
Why Invest in Multifamily Affordable Housing?
- Huge shortage of decent, safe, and sanitary multifamily housing for low to moderate income families with children and persons with special needs
- Helps create economically healthy and diverse communities
- Supports a more mobile workforce that can adapt to changing economic opportunities
- Provides living opportunities not otherwise available in the residential sector
- Makes a bigger difference in the lives of more people in one fell swoop
- Benefits of multifamily investing enhanced by possibilities of even greater financialreturns
- Varied governmental sources for financing make acquisition and rehabilitation of multifamily properties more feasible
Why Invest in 'Green' Multifamily Properties?
- Benefits of multifamily investing enhanced by possibilities of even greater financial returns
- Reduced expenses = higher Net Operating Income (NOI) = enhanced appreciation of property = better ROI
- Potential cost savings on electric, gas, and water usage is measurable and may be substantial
- Rising, unstable energy prices due to geo-politics make 'going green' a necessity
- Improve the quality of health and life of residents in multifamily properties
- Make a bigger difference in the lives of more people in one fell swoop
- Green(er) buildings are good for neighborhoods and our planet and create a lighter carbon footprint
Why Invest in Historic 'Green' Multifamily Properties Now?
- Greater availability of government incentives, tax credits and funding for building and retrofitting 'green'
- The cost of 'greening' a property is now not only feasible but profitable
- Sustainability and green buildings are no longer 'fringe' concepts and are more fully embraced by the public
- Increased demand for apartment rentals as a result of on-going residential foreclosures
- Existence of strong 'buyers' markets for multifamily properties in various metropolitan pockets around the country
- Interest rates continue to linger at historically low levels so money is 'cheap'
- Commercial foreclosures continue to create solid opportunities for smart purchases of multifamily at excellent price points
- More opportunities for seller financing in this economic environment
- High performance green buildings will only grow in stature and allure
~ It is time to ACT NOW