At Price Realty Corporation (PRC), our investment strategy is to target opportunistic, value-add and core-plus acquisitions of Class A, B and C multifamily properties located in and around the four core markets of Texas: Dallas/Fort Worth, Houston, Austin and San Antonio.
Our investment criteria is twofold. First, to seek acquisitions that generate current cash flow in excess of 7% and long-term internal rates of return in the mid to high teens. Second, to pursue acquisitions of well-located, distressed assets with good economic upside potential, including REO and note acquisitions from banks, special servicers, and debt funds.
We begin the investment process by underwriting and touring potential acquisitions. The underwriting process is led and reviewed by our investment and management teams. This process enables us to leverage our investment experience and market-based knowledge at the asset level to provide a more accurate forecast in our underwriting.
For every potential acquisition, PRC completes a comprehensive due-diligence report that includes a multi-year financial and deferred maintenance summary, market research, lease audit and a unit-by-unit physical inspection.
Due to our strong alliances with long-term lenders and investors, PRC can move quickly on potential acquisitions that offer favorable investment prospects.
Key Acquisition Factors
- Property Location
- Physical Condition
- Submarket Specific Economic Factors
- Macroeconomic Investment Impacts
In the core Texas markets of Dallas/Fort Worth, Houston, Austin and San Antonio to acquire Class A and B and well-located Class C multifamily product that offers growth potential through operational and market upside at discounts to replacement cost.
- Class A and B and well-located Class C multifamily properties
- 150+ units per asset
- Core Texas markets: Dallas/Fort Worth, Houston, Austin and San Antonio
- Low to Mid teen Levered IRR’s
- Distributions to exceed 7%
Seeking Joint Venture or High Net Worth capital for strategic acquisitions. Hold periods are established between partners and based on individual deal merits.
Asset and Property Management
At Price Realty Corporation (PRC), we provide our properties with a full range of asset and property management services, focusing on property operations, resident services and retention, marketing, property preservation and financial operations.
Modification of these management services allows PRC to customize its management programs to achieve the individual investment goals for each multifamily asset. Price Realty Corporation also provides risk management to identify potential physical risks, evaluate for potential loss and recommend solutions to eliminate risks.
Our property management business model focuses on both the operational and financial success of each property by focusing on the following:
- Due Diligence
- Construction Services
- Oversee Property Fiduciary Requirements
- Financial Analysis
- Accounting and Financial Reporting