STRATEGY
DESTRA MULTIFAMILY LLC targets stabilized value-add apartment properties of 250+ units in favorable U.S. metropolitan areas, that fall within one of two following strategy types:
VALUE-ADD
Well-located but often mismanaged apartment communities at discounts to replacement costs that exhibit significant value-add potential.
CORE PLUS
Gateway markets and select urban growth markets that have demonstrated liquidity, a favorable employment base, strong population growth, and other positive demand drivers.
Destra seeks to capitalize on the repositioning of these asset types by:
Executing strategic capital improvements to maximize income
Investing in marketing, visibility, and follow-up
Implementing institutional property and asset management practices to optimize operations
Once the benefits of our program have been realized, we typically seek incremental financing opportunities to right-size the asset’s debt balance and return a significant proportion of invested capital. Having sufficiently de-risked our investment basis, we opportunistically seek the most favorable exit scenario in subsequent years. Destra’s defensive market and asset class selection criteria, rigorous underwriting, and proactive management approach positions its investments for success throughout economic cycles
Destra maintains a data-driven top-down approach to its market selection, and a disciplined bottom-up approach to its underwriting of only the most favorable assets within these markets.
To accomplish this, Destra has developed a proprietary deal evaluation process that:
Integrates its origination and diligence processes
Casts a wide net which can be efficiently and effectively whittled down
Eliminate as many unknowns as possible relative to the time, dollars or competing opportunities we risk in pursuing less-viable acquisition candidates.
