Investments
STRATEGIC LOCATIONS. MAXIMUM CASH FLOW.
RMA Development syndicates private real estate investments in strategic locations throughout the United States. Our primary focus is value added multi-family investments in select markets with strong population and job growth. The primary goal of each acquisition is to drive revenue growth and cost savings in order to maximize property-level cash flow and investor returns. We structure private partnerships on the asset level. This means each of our investors are partners on a particular building asset and enjoy all the passive income and tax benefits larger multi-family real estate investments afford.
OUR STRATEGY
ADD VALUE. DELIVER RESULTS.
We seek underperforming Class B and C assets in strategic growth markets throughout the United States. Typically these buildings are minimally 20 years old, have some level of deferred maintenance, are poorly managed and/or are poorly positioned in the marketplace. We strive to add value to these properties by improving the asset and the tenant base while identifying and implementing efficiency improvements to drive up net operating income (NOI). When acquiring an asset, it’s our intention to hold it between 3-6 years, with an overall annual rate-of-return between 8% to 20% over the life of the investment.
In addition, RMA conducts intensive top-down market research, due diligence and underwriting when selecting properties to acquire. By leveraging our relationships with sellers, brokers, attorneys, accountants and lenders, we are able to efficiently manage and execute on every aspect of the acquisition process.
WHY INVEST IN REAL ESTATE?
-
Stability
Real estate is less volatile than the stock market and assets are tangible and easily traded.
-
Cash Flow
Income from tenants pay all the expenses and debt providing profits to the owners.
-
Tax Benefits
Asset depreciation allows you to significantly reduce your Taxable Income and keep more of your profits than any other investment. Plus, staying in real estate allows you to compound your gains, by deferring all capital gains taxes through 1031 Exchanges, and offers potential for preferential tax treatments through Opportunity Zone investing.
-
Equity Creation
Income from tenants pays down the asset debt which increases your equity, creating passive long-term wealth.
-
Capital Appreciation
Real estate appreciates in value through both “forced appreciation” and “market appreciation”.
HOW DOES IT WORK?
-
Research
RMA conducts a deep dive to identify markets for potential investment opportunities.
-
Relationships
Nurture local relationships to gather “insider intelligence” to identify on and off-market investment opportunities.
-
Purchase the Asset
We target Class B/C multi-family assets in secondary and tertiary markets with stable or improving economic and demographic trends.
-
Improve the Asset
Through property improvements, we achieve forced revenue growth and appreciation. Both increasing our investors quarterly cash dividends and increasing the underlying asset value.
-
Manage the Asset
By eliminating operational inefficiencies and implementing state of the art technology we actively drive up NOI during our hold period.
-
Sell the Asset
After a period of 3 to 5 years, sell the asset and return all of our investors equity and share of the profits.
FUNDING YOUR INVESTMENT
In addition to funding private real estate investments through conventional savings, many investors are unaware of their ability to utilize their IRA or 401K to diversify into private real estate deals. Real estate investments can provide competitive returns with less volatility than the stock market. Investors can participate in our real estate projects on a case by case basis by self-directing their IRA, 401K, Annuities, SEP IRA or ROTH IRA retirement funds. Potential investors can participate as Debt Investors or Equity Investors on individual real estate deals helping to diversify their portfolio and help them achieve their retirement goals.
