Value-Add Strategies
Value-add strategies tend to be more aggressive. They involve the targeting of properties in dire need of great improvement. ADA undertake renovation, improvement in operation, and hands-on management. The aim is to add value to the property and increase its cash flow.
Value-add investments are usually distressed properties or underperforming assets. Such an investment can be older office buildings, outdated multifamily apartments, or retail space in declining markets. Investors assess the potential for upgrades on most occasions.
These may be in the form of heavy renovations: interior redesigning, facilitation with improved amenities, and/or beautification to improve curb appeal. Investors may also refine property management itself. Proper marketing and tenant retention may result in increased occupancy.
The value-add strategies shift the risk profile. They require more capital and labor. However, if perfectly executed, the returns to value-add investments are pretty significant. They attract investors who want higher growth. Examples of such include institutional investors and real estate funds.
We strive to increase the value of individual assets and improve the overall ambiance of the community as a whole.
Potential Value-Add Property Types
- Residential
- Office
- Retail
- Hospitality
- Entertainment
- Mixed-use
Value-Add Strategies Overview
Our strategy enhances underutilized or undervalued properties, transforming them to better serve community needs.