WHAT WE DO
At West Alley Capital LLC, our mission is to provide safe housing with unbeatable service to our residents, while creating financial opportunities for our investors through repositioning of underperforming assets.
Why Multifamily?
Real estate is widely regarded as one of the best vehicles for investing, made famous by the “ninety percent of millionaires were made through real estate”. Why is multifamily so special? Who does not want to be a real estate investor without the midnight tenant calls.
Cash flow
Multifamily investing is a viable alternative to investing in stocks and bonds, offering investors asset diversification, as well as a different risk and return profile. Unlike stocks, “mailbox money” is the expectation. This is the ultimate goal, right!? -- completely passive income. Typically, our investors can expect quarterly distributions of their returns.
Tax benefits
We are not professional tax accountants and we recommend you seek proper counsel, but owning real estate has always offered incredible tax savings and huge tax advantages when compared to traditional investments such as stocks & bonds. Often times investors in apartment buildings end up paying little to no taxes because of the loopholes written into our tax codes. To put it simply, our government rewards real estate investors, why not take advantage of these perks?
Appreciation
In general, property appreciation means an increase of its value over time. The more an asset appreciates in value, the more profit is made on its refinance or sale. In addition to this natural appreciation, we increase the value of our assets by increasing their net operating income, which in turn, further increases their value. This means more money for the investors upon refinance or sale of the property. Lastly, this is a major protector against inflation.
How We Do It
We go through a stringent process to locate and evaluate underperforming assets in A or B areas and add value by physically upgrading the asset and/or improving the management. A conservative underwriting approach is taken to ensure the stated returns can be met and an intensive due diligence process occurs to inspect every inch of the property, review all financials from the previous owner, and evaluate the market and submarket. Everyone knows LOCATION, LOCATION, LOCATION! While we do not have the beaches and ocean front property in the Midwest, our locations are evaluated by low crime, diverse employment, median home prices, a strong national retail presence a stable tenant base.
The scalability of multifamily allows us to hire professionals in every aspect of this business, as well as full-time on-site staff. This greatly increases the likelihood to reposition the asset and increase its value by increasing income and decreasing expenses.