Multifamily Investment Benefits

AVP’s focus is primarily multifamily investment because it is where we derive the bulk of our real estate experience.  For the past ten years we have invested individually in apartments in order to take advantage of strong Bay Area appreciation, cash flow and tax benefits.  AVP offers investors the opportunity to share these same benefits and invest in a real estate asset class that has historically outperformed all others.  Some reasons it has outperformed other asset classes are as follows:

  • Apartments offer the most steady and reliable income and expense operations.  As everyone needs a place to live, even in a downturn, vacancy is relatively stable.  Additionally, it costs less to find new tenants when they do leave.
  • They provide the greatest value-added opportunities with limited risk.
  • They are an excellent hedge against inflation, especially when leveraged appropriately.  In particular, short-term leases do not constrain growth.
  • The investment market is more liquid.  Investors are generally more comfortable with apartments as a product type and the pool of buyers is more robust than other property types.
  • They attract more favorable financing terms from lenders as it is the asset class with which they are generally the most comfortable.