Acquisitions Process

The REA Capital Management Process

• Sourcing and Finding Multifamily Assets:
  • Strong broker relationships through constant communication, solid offers, and reputation as a leader in the space.
  • Gain access to off-market deals as a result of our reputation for closing deals quickly.
• Underwriting (Reviewing the Numbers):
  • Utilize current financials (not broker pro formas) to analyze assets with a proprietary Financial Model developed by our team.
  • Conservative assumptions produce a pro forma model to properly vet the asset.
• Touring Assets:
  • The REA Capital Management acquisitions team tours all assets before submitting a LOI. The acquisitions team constantly tours our target markets and develops a comprehensive understanding of each asset prior to acquisition.
• Making Offers:
  • Our conservative financial modeling informs our offer process, and we pursue far more deals than we’re awarded, roughly 100 to 1, as we will not compromise our criteria or overpay for an asset.
• Due Diligence
• Markets: Currently focused on these markets, but are not limited to them
  • North Carolina, Kentucky, Pennsylvania, and Minnesota.
• Deal Flow Criteria:
  • Multifamily Assets throughout the markets listed above,
    • Vintage 2000 to 2021,
    • 20 to 95 million,
    • Class A to B, 120 units and above,
    • 50% occupied asset for a pre-stabilized deal will be the earliest we will consider