Through rigorous due diligence, we pinpoint opportunities in changing economic and evolving market cycles”.
– Forrest Corral
Chief Investment Officer
Our investment strategy is to take advantage of current market opportunities by acquiring, renting, adding value through renovation and expense controls, managing and ultimately disposing of multi-family residential properties.
Opportunistic and distressed is our foundational acquisition strategy. We seek quality
multi-family properties of 5 to 40 units that are “unattractive and occupied” built between
1970 and 2000 and located in “Class B” California neighborhoods with a focus on assets
located in Orange County, California.
Our rigorous identification and due diligence process informs our Investment Committee
decision making and allows us to pinpoint opportunities in changing economic
environments and evolving market cycles.
Value enhancement prospects include:
• Assets under capitalized
• Assets that are mis-managed or neglected
• Assets with poor leasing strategies
• Assets requiring renovation and/or repositioning
• Capitalizing on sellers’ strategic or financial motivations
VisionWise Capital will not incur debt financing for any property in excess of a 50% Loan-To-Value ratio. By keeping debt at or below 50% of value, we believe our assets will be better positioned to resist a general economic recession. We believe the majority of risk experienced in real estate investing is the result of the overuse of debt financing that can result in foreclosures on otherwise viable assets when the market cycle turns soft.
With our outlook on the economy bearish, we are focused on a relatively low-debt capital structure that we believe limits investor risk. In other words, assets that are not highly leveraged should be able to withstand a loss in value without being “lost to the bank”. History has consistently shown that California real estate (particularly Orange County) recovers (or improves) over time: our objective is to protect investors’ capital.
Through renovations and professional management, we seek to mazimize rents to increase
cash flow and enhance appreciation.