Sometimes the Best Projects Aren’t the Ones You Buy, But Those You Develop
Michael H. Zaransky, founder and managing principal of MZ Capital Partners, explains how his firm has found a niche in developing high quality rental housing nationally in this podcast.
Investors have been swept along in the ongoing rush to get into alternative investments. The need for returns, low yields in traditional markets like fixed income, and high prices in equities have pushed large amounts of capital into alternative investments, including multifamily real estate. Attractive value growth and cashflows flush with rising rents have compressed cap rates, dropping into the 3% to 4% range.
MZ Capital partners has taken a different path. Instead of being squeezed in with many other bidders for assets, founder and managing principal Michael H. Zaransky explains how the firm has pushed a developer role. Picking the right demographics and locations, they can develop high quality rental housing to satisfy a large segment of consumers.
To listen to the discussion, press play.