Eleven24 Properties
Eleven24 Properties focuses on the acquisition and repositioning of multifamily properties which are underutilized, mismanaged, and/or neglected. Our investments are funded by individuals looking to improve the communities in which they invest. By focusing on the midsized multifamily properties, we are not competing with well-funded hedge funds and the individual homeowner looking to live in the units they purchase.
Asset management is a term that is widely used in the financial management, banking, and real estate industries. Though at a high level there are a lot of similarities of the role in the different industries, there are also very unique aspects as well.
If you are new to multifamily investing, it is easy to get confused between property management, portfolio management, and asset management. At Eleven24 Properties, we handle all three, so you don’t have to.
What we do
Asset Management // Concerned with maximizing the potential of each property by ensuring that the business plan targets are being achieved. Asset management is a multi-faceted role that requires an asset manager to deeply understand operations, have a strong aptitude for financial analysis, and have strong project and people management skills.
Property Management // Is the execution of day-to-day operations of a property. The property manager, leasing agents, and maintenance staff are responsible for collecting the rents, finding new tenants, addressing work orders, etc., and ensuring that the communities are safe and well kept. Property management is the daily “blocking and tackling” of property operations.
Portfolio Management // A higher-level role that reviews multiple properties in varying locations to assess the health, trends, and progress of an entire portfolio.
How we do it
Managing Capital Improvements // Asset managers who effectively manage Capex can really help the property’s cash flows. Losing sight of Capex spending, even for a month or two, can result in some ugly surprises so even though this isn’t the most glamorous part of the job, it is an important part of the asset manager’s role.
Financial Analysis // Using data from operations and analyzing it to identify key trends, issues, opportunities, calculate ROI, etc. and be able to effectively interpret this data for decision making. Continually analyze property P&L’s, Balance Sheets, and Cash Flow Statements to compare performance to projections and adjust as needed.
Operations // Ensuring that the property is operating efficiently and effectively to meet the goals and objectives of the business plan. This requires an understanding of the various processes for increasing rents, getting new tenants, managing retention, collecting past due rents, monitoring work orders, and deferred maintenance, etc. so that areas of concern can be identified and rectified.
Investor Relations // The ability to deliver returns is obviously very important to keep investors happy, however, returns alone are not enough. Regular reporting, communication, and customer service are critical to creating a great investor experience
How’s that help you?
Asset management is a multi-disciplinary function that is critical to the success of large real estate projects like multifamily. As described above, a strong asset manager must have a good blend of experience and skills across operations, finance, and management. The best asset management functions not only have great people but also have very defined processes, often enabled with technology, to effectively maximize asset performance.
At Eleven24 Properties, we have the systems and experience to reposition multifamily assets to benefit our lenders and the communities in which we invest.
