LOS ANGELES—The buyer pool for apartment properties has never been as competitive as today. What is key is to not only have relationships, but to come in strong and also have a good track record, and speed of getting deals done and doing due diligence early. That is according to panelists at the recent national GlobeSt. Multifamily conference in Los Angeles.
According to Equity Residential's Jim Alexander, on certain deals, the depth of the buyer pool is starting to thin out but the pricing is holding strong. "From our perspective, we want to stay competitive on the front end of the process and come in strong in our initial bids relative to what we have done in past cycles. Brokers are giving guidance and more often than not, pricing is going well past guidance.
Panelist Jay Glaubach of Ares Real Estate Group added that speed of execution is huge thanks to those looking to complete deals by year end. For Ares, their perspective in underwriting hasn't changed in this environment. "We have always been as active in suburban markets as we have in urban. Our activity has shifted in volume. We aren't targeting anything tertiary and when it comes to underwriting standards, we have always added a buffer."
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
