We’ll seek to identify attractive real estate opportunities (distressed rental communities) offering it to foreign and domestic investors. The goal is to re-position these properties through a capital improvement and property management program, increase operating income over a five-year or six-year hold cycle, and sell and / or refinance to return invested capital and provide healthy results.
Why have Tenancy In Common (TIC) become so popular?
As the price of real estate continues to decrease, and communities adopt ever-stricter growth and condominium conversion restrictions, more and more people are turning to tenancies in common and other non-traditional co-ownership structures as a way to maximize their buying and selling power.
These arrangements lower prices and increase choice for buyers by allowing them to pool resources and buy more real estate than they otherwise could or would, while agreeing among themselves on an allocation of rights and responsibilities so each buyer does not end up with more than he/she needs.
At the same time, tenancy in common arrangements increase sale prices and marketing options for sellers by allowing them to sell fractions of their property to buyers for prices that generally add up to more than what the seller would receive from a single buyer. The popularity of tenancies in common has been further enhanced by the recent introduction of “fractional loans” which allow co-owners to have individual mortgages, substantially decreasing the risk of co-ownership. If you wish to know more about TIC investment option, please contact us.