Acquire • Optimize • Scale
WELCOME TO
Flex Equity Group
Partner with us to invest passively in multifamily real estate.
Why Multifamily?
Download Our Free White Paper To Learn The Top 6 Reasons
ENHANCING COMMUNITY
CREATES
OPPORTUNITY
FLEX Equity Group is a Texas-based commercial real estate investment company specializing in the acquisition, re-positioning, and asset management of multifamily apartment complexes.
We source opportunities to acquire multifamily apartment complexes then offer our investor network the opportunity to partner with us by investing passively. After acquisition, we are passionate about excellent operations in order to maximize our investor returns.
Our first priority is to enhance the sense of community at each of our properties by providing safe, attractive, well-maintained, desirable living spaces for our tenants.
We then leverage our tenants’ satisfaction to provide stable, predictable, secure real estate investment opportunities to our diverse community of investors.
WHY PARTNER WITH US?
A PASSION FOR PROCESSES SETS US APART
FLEX Equity Group is passionate about our processes which set us apart in the industry. We analyze in pain-staking detail every aspect of the investment so you don't have to. Invest as a passive investor in a multifamily syndication and let our team do the work.
Benefits of investing in our multifamily real estate projects include:
Careful Market Analysis
We specialize in in-depth analysis of both macro and micro influences within the major and sub-markets.
Thorough Due Diligence
We value thorough due diligence based on quantitative industry verified metrics, conservative underwriting, meticulous site visits and the trusted opinions of industry experts. We strive to make the details clear so that each investor fully understands the investment profile and goals. Each deal has to make sense to us as investors based on our conservative safety, yield and equity growth targets before we ask our investors to consider the opportunity.
Timely Transparent Reporting
Our investors can expect full disclosure throughout the investment life cycle. We readily share each project’s successes and challenges, and we welcome collaborative feedback from investors to benefit the project.
Continual Oversight
Even with careful planning and conservative projections, the unexpected happens. Daily review of operating metrics and weekly conferences with the on-site team allow FLEX Equity Group to initiate proactive solutions to challenges as they arise.
NIC ESPANET
Nic began passively investing in multifamily properties in 2016 and closed his first deal as a Lead Syndicator & Asset Manager in 2018. He has since invested passively in properties with a total of 1,780 doors and syndicated the purchase of 8 properties with a total of 1318 doors. In addition, Nic has 17 years experience as a small business owner in private practice as a Physical Therapist and 25 years experience managing physical therapy teams.
Nic specializes in Deal Acquisition, Capital Raising and Asset Management.
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WHY MULTIFAMILY?
STABLE ASSETS WITH PREDICTIBLE RETURNS
Multifamily Real Estate Investing is a “Feel Good” Business
At FLEX Equity Group, our motto is “enhancing community creates opportunity.” Each time we purchase and renovate a large multifamily complex, we transform an entire neighborhood all at once. All of our tenants get to enjoy the improvements we make in a short period of time after takeover. We remediate deferred maintenance, refresh and enliven community spaces, add or improve amenities, upgrade vacant unit interiors to attract quality neighbors and host gatherings to build a sense of community through fellowship among neighbors.
Happy tenants pay their rent, renew their leases and refer their friends.
Multifamily Assets are Businesses, not Houses
While multifamily complexes seem similar to their single-family counterparts, the major difference between the two is in the valuation. Multifamily assets are bought and sold as a business, not a property. While a single-family house is limited to the appreciation of the entire neighborhood, a multifamily complex appreciates by increasing the Net Operating Income. The “passive appreciation” of single-family residences limits the investor’s control.
Multifamily investors have the advantage of “forced appreciation” by increasing income while decreasing expenses. As we implement our business plan to improve the property, we can gradually increase rents in order to increase income. Small increases among 100 or 150 or 200 units produces massive increases in the value of the property. At the same time, we work to build efficient processes and oversight to reduce expenses. Our business plan is to sell in 4-7 years in order to capture the appreciation at a favorable point in the market cycle.
Principle Protection
To limit the potential liability caused by unexpected catastrophe, each of our assets covered by hazard insurance which protects from not only catastrophic loss but also covers the loss of income the property generates if disaster hits. To limit the potential liability caused by a downturn in the market cycle, we stress test our underwriting to evaluate the sustainability of the asset in a down market
Cash Flow
Each time a tenant vacates a single-family residence, the vacancy rate spikes to 100%. In a 100-unit apartment complex, the same one tenant moving out causes only a 1% vacancy increase. Consistent, predictable occupancy rates are one reason that multifamily assets cash flow more predictably than single-family assets.
Multifamily assets benefit from favorable lending terms, as well. Banks finance up to 75% of the appraisal, up to 75% of the rehab costs and offer interest-only payback periods from 1 to 5 years. This leverage allows for increased cash flow on the front end and better returns at the time of sale.
Our team works hard to maximize rental income, find opportunities for other income (such as a laundry facility or paid covered parking), and minimize expenses. The margin between income and expenses is returned to investors quarterly as passive cash flow. Mailbox money!
Economies of Scale - 1 purchase, 100+ units
Managing 100+ units in one location offers efficiencies unmatched in single-family investing. Which is easier: managing 100 single-family homes spread out across an entire city or 100 multifamily units in one complex? The size of each property allows us to put together a solid sponsorship team and hire a 3rd party professional management company with experienced leasing agents and maintenance staff. They know the market, the competition and how to offer exceptional customer service to the tenants. They have extensive experience with multifamily rehab projects and can secure discounts on bulk building materials. When we need an outside contractor, they connect us with reliable lawn care, attentive cleaning services and efficient plumbers and electricians.
Tax Benefits
We partner with the government to offer safe, clean, well-maintained, affordable housing and in return the government offers tax benefits to our investors. Due to cost segregation and bonus depreciation, multifamily investments have higher after-tax yields due to a shorter depreciation schedule. Upon sale, profit over depreciated basis is mostly taxed at the capital gains rates, which are lower than ordinary tax rates.
HOW IT WORKS
Thrive Multifamily uses our strict investment criteria to filter and source ideal properties in the multifamily market. These properties will be presented to you with information that will allow you to carefully evaluate the opportunity in line with your investment parameters and goals.
The steps you should take are simple, as follows:
01.
Complete and submit the online investor form to become part of our investor community.
02.
Schedule a call with one of our investment team to discuss your objectives and answer all of your questions.
03.
Receive privileged information on all our latest investment opportunities.
04.
Complete the paperwork and become a Limited Partner “passive” investor in one of our multifamily properties.
05.
Relax and enjoy receiving regular reports and profit distributions.
READY TO INVEST?
Join our investor network and start learning how you, too, can invest passively in multifamily real estate syndications.
We welcome you to join our investor network.
FLEX EQUITY GROUP
A multifamily syndication and asset management company specializing in the acqusitions and operations of multifamily apartment complexes in Texas.
MAILING ADDRESS
5900 Balcones Drive
Suite 4000
Austin, TX 78731
PHONE
Phone: (817) 646-2622
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