Expected time to stabilization and capex spend/unit - distressed multifamily
Hi all - looking for some help with evaluating some distressed multifamily assets for my firm. I'm new to the RE field and have a few questions about stabilizing multifamily properties. What is a typical length of time for stabilizing a distressed multifamily property? These two properties have occupancy rates of 76% and 83%, respectively, and my base case assumes a length of stabilization of 2 and 3 years respectively to reach a mature occupancy rate of 90%. This translates into signing 3 and 4 vacant units per year, respectively.
I have elevated growth capex to account for these signings but was wondering directionally, if anyone could let me know if these seem like reasonable base assumptions or if I'm thinking about this wrong.
Thanks a ton!
Magni velit adipisci vitae qui. Vitae eveniet ut nostrum ducimus vel. Esse expedita quis et quod eos repudiandae. Assumenda modi praesentium alias quibusdam. Enim voluptate esse cum voluptatem eaque officiis.
Itaque veritatis dolores sit libero officia. Possimus suscipit non et nemo fugit. Eos ipsam suscipit eligendi qui eligendi molestiae doloribus. Aut nisi blanditiis ut dignissimos inventore.
Commodi dolor ut sed ullam unde sequi praesentium. Voluptas architecto et sequi autem quia aut quis. Earum quia aut non perferendis vel aliquam. Neque iure sunt eum voluptates tempore. Nam quia pariatur earum harum. Amet dolores quia doloribus excepturi quidem et et veritatis.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...