The Investment Strategy: Targeting Lower 'T' Zones
Were we to establish a small development fund aimed at investing in Miami, our initial focus would be on the lower 'T' zones. These zones are suitable for smaller-scale projects, facilitating an iterative approach across the portfolio.
Preferred Search Parameters: Identifying Ideal Investment Properties
With the aid of our market scanner, we can swiftly identify and shortlist potential investment properties. Our preferred search parameters include:
- Properties located in T4 zones (these allow 36 units per acre and are usually single-family residences)
- Properties featuring an existing structure between 1,000 to 1,500 square feet (generally single-family homes)
- Properties constructed before the 1980s (older single-family residences)
- Properties that permit the construction of more than six residential units (offering 6X development capacity)
The Master Plan: Acquisition and Development of Properties
The plan would be to acquire a considerable number - say 20-30 - of these properties, then embark on a series of manageable development projects, each one building on the success of the last. This approach could introduce an estimated 120-150 units into this low-density market, effectively raising the population on these sites from around 60 to approximately 350.
Once our strategy is formulated, the key is promptly identifying and securing the properties that fit our investment criteria.
More will be revealed,
