REAL ESTATE ACQUISITION
Repositioning for Urban Growth: The Micro-Unit Advantage
Before acquisition, this three-family generated $84,600 in annual gross revenue, operating like a conventional long-term rental. Yet the property sits in the heart of one of Boston’s most dynamic urban corridors—steps from Kendall Square, MIT, MGH, and the region’s biotech engine—where demand for flexible, furnished housing consistently outpaces supply.
Our analysis revealed a clear mismatch between the building’s traditional use and the high-mobility tenant base that defines the neighborhood. This opened the door to a compelling opportunity: repositioning the asset into furnished micro units purpose-built for biotech professionals, research fellows, and academic visitors who require convenience, flexibility, and proximity.
A Disciplined Path to Acquisition
This project reflects how we acquire: selectively, patiently, and with strict adherence to our underwriting. We pursue assets with untapped potential, but we acquire them at valuations tied to current, not future, performance.
For this project, that meant a five-month negotiation process—holding firm on pricing, timing offers to market softness, and acting decisively once seller expectations aligned with our model. We do not chase deals or rely on expansion goals to justify overpaying.
We also target property types which the capital structure can amplify returns. With this acquisition, we secured 90% leverage that supports strong cash flow while improving total ROI—creating upside without increasing operational risk.
Lorem ipsum dolor
Our Value-Creation Strategy
After closing, we executed a precise value-add plan to realign the property with true neighborhood demand:
Strategic Repositioning
Converted a traditional rental into high-demand micro units tailored for mobile professionals.
Market Timing With Discipline
Took advantage of a slow market—acting quickly while others hesitated, securing the asset without bidding pressure or inflated pricing.
Operational Streamlining
Leveraged our in-house management team to maximize occupancy and minimize downtime.
Systemized, Repeatable Execution
Applied our proven acquisition-to-operation playbook, allowing us to scale improvements efficiently and replicate performance across the portfolio.
Our Work in Numbers
Projected Numbers Within the First Full Year Post-Investment
Average ROI
~14%
Cash-on-cash return
5.35%
projected 5-Year IRR
22.30%
What It Reflects
This project demonstrates the strength of our investment playbook: disciplined acquisition, strategic micro-unit repositioning, and operational precision. It allows us to serve a highly mobile professional tenant base—driven by biotech, healthcare, and academic institutions—while elevating the performance of a previously underutilized asset.
More importantly, it shows how we generate above-market returns:
by protecting the downside, unlocking hidden potential, and driving performance through strategy rather than speculation.