Remaining Time For Funding (Ends on 02/17/2021 06:10 am)
Downtown LA/North Hollywood
11630 Friar St, North Hollywood, CA 91606 (View on Google Maps)
INVESTMENT STRATEGY SUMMARY
8-15 Unit Apartment Complex
For the first investment trial, AMIA Investment will be focusing on 8-12 unit apartment building. This project would be basically our case-study project for commercial real estate development market. This project is designed with the intention to fulfill multiple objectives. First, assuring investors and project team can collaborate with each other to bring a development project to life with very small initial investment from each investor. Second, our partners (investors) can assure AMIA investment team have the capability to work with multiple resources and perform financial and development feasibility study. Permitting and entitlement process in City of LA/ Orange county and County of LA is becoming overly challenging to acquire therefore planning team is a vital part of this project. AMIA Investment would work with planning team and would be responsible for entitlement of the project. Due to small size of the project AMIA team can collaborate with smaller architectural engineering firm and need to control the quality of the A&E service. During the construction process, AMIA Investment team of consultants would gain a great experience to work with the construction management team and general contractor of the project. After completion of construction. A successful multifamily investment project still requires many steps to be taken after completion of the construction. In the competitive Los Angeles rental market area, the asset management cycle should be started prior to completion of construction. AMIA team will be responsible for hiring experienced asset managers to absorb qualifying tenants and rent out all the available units in the shortest period. We anticipate a 2-year asset management period on a small size project to stabilize the property income and provide solid valuation metrics on the property value. The final step on the investment life cycle would be asset disposal. AMIA investment in house consultants would work closely with commercial real estate brokers for asset evaluation, asset document preparation, and advertising procedure. The main intent is to use as much as in-house resources as possible to reduce the selling and closing costs on the asset. After the closing, all the costs will be deducted from the selling price and the profit will be distributed between our partners (investors).
It is worth mentioning that we are planning to exponentially increase the size of the investment in future project 1 and future project 2 which will be planned for approximately 100 units and 1000 units, and planning for the development of future project 1 starts as soon as the current project enters the construction phase. The goal is to yield up to 12% profit per year for our investors with the hope that we can scale the same process for future project 1 and for future project 2 afterward.
Overview of the Apartment Complex
This development project will be planned for a major metropolitan area with high resident density and a stable rental market. The development will target young professionals and small families with moderate income. The construction type would be similar to conventional Mixed Use/Multifamily developments with 1 story subtraction parking garage, one-story lobby, minimal amenities, and 3-4 story wood framed apartments above the first level concrete podium.
Amenities and Common Spaces
Amenities for the current project will be kept to the bare minimum since a limited number of units do not justify economically the high maintenance cost of dazzling amenities.