CORAL GABLES, FL--(Marketwire - Mar 7, 2013) - Paul R. Steinfurth is a real estate professional who has spent many years specializing in the growth of "value added" properties. His recent experience and success in the multifamily sector of the market has led him to believe that the rental side of the industry is positioned for continued stability and growth in the future. This trend has also won the attention of The Atlanta Business Chronicle, which recently released an article regarding the "solid future" of the multifamily sector.
The article observes the unique advantages this portion of the market has continued to offer and states, "While other property segments such as office and retail have struggled, the apartment market has seen vacancies basically evaporate, rents climb and investor interest soar." Many predict that this promising upward mobility is settled to last for at least another year. Paul R. Steinfurth adds that although the overall housing market has been crippled due to various factors, just as many elements have influenced the growing success of the apartment and condominium rental market.
For instance, according to the article, the widening job market has allowed many emerging professionals -- most notably those of the Millenial generation -- to become attracted to rental opportunities. As more renters enter the market, more real estate investors are confident that the multifamily sector is worth securing. In addition, "sensible" construction methods, "attractive financing options" for investors, as well as a general attitude shift away from homeownership has allowed this piece of the real estate industry to remain attractive across the board -- from renters to those who invest in projects.
Apart from the general trends observed by the article, Paul R. Steinfurth has witnessed growth within his own market through his work as Manager at the Style Holdings, LLC -- a fully-integrated real estate firm managing properties in Florida, Georgia and Alabama. He reveals, "Rental markets are tightening as confirmed by our portfolio occupancies in the 95+/- percent range. At this time, and probably through 2013, we are able to acquire assets at 50 to 60 percent of replacement cost. Furthermore, the attractiveness is heightened by the low cost of debt and the commercial mortgage-backed securities market continues to become increasingly aggressive reducing the interest spreads approaching agency yields."
In addition to the factors highlighted by The Atlanta Business Chronicle, Steinfurth recognizes some other interesting trends that promote the continued success of the multifamily sector. "Acquiring properties that require minor 'value added' expenditures, coupled with the strengthening economy, plus low fixed interest rates, permit assets to be well-positioned for the future. As interest rates rise and inflation increases, with fixed rate debt, the net operating incomes and investor yields should be very competitive," Paul R. Steinfurth concludes.
Paul R. Steinfurth is the Manager of Style Holdings, LLC -- a noted fully-integrated real estate firm that manages the many necessities associated with the properties found within its comprehensive portfolio. Currently, the business maintains a portfolio of 3,000 units and has renovated more than 5,000 units throughout 42 properties within the last decade. Serving as the manager of such an expansive company, Paul R. Steinfurth is able to expertly navigate the business and meet the needs of clients with years of experience in the industry.
- Real Estate