Centarus Realty provides a one stop shop for multifamily real estate investors who are seeking to acquire “Investment Quality” multifamily property. Our firm combines the skills of four companies and works with our clients to serve the following needs: (1) brokerage, (2) property management, (3) mortgage brokerage, and (4) syndication guidance.
Our Unique Market Focus on Multifamily Real Estate Investments
- Our focus is in introducing small to medium sized multifamily investments to sophisticated investors, who are seeking to acquire Investment Quality multifamily real estate. Our typical unit range focus is 2 units to 100 units; however, since our focus is high quality real estate, we primarily introduce A and B class properties in either A or B class areas of Chicago.
- This means that a 3 unit A class property in an A class area will be purchased at nearly the same price as a 28 unit building in a C class area, but a 3 unit property will be a better investment for professional or business owner, who is not seeking a reposition opportunity or willing to be burdened by a management intensive property.
What is “Investment Quality” Multifamily Real Estate
- Investment quality multifamily real estate is investment property that meets specific technical criteria, which allows our clients to accomplish their financial objectives (cap rate, grm, net cash flow, cash on cash return). For example, most of our clients acquire multifamily real estate with a five to ten year objective as to appreciation and cash flow, and these goals are carefully calculated and analyzed to meet their goals before purchase.
- Many large brokerage firms are familiar with real estate financial analysis, but few of them are interested in selling smaller multifamily properties, which are less than 6 units, due to the size of the transaction. Although our firm serves larger investment clients, as well, the majority of our practice is directed toward successful business people, who seek to diversify their portfolios with investment quality multifamily real estate, or people who are seeking to make real estate acquisition a second business.
- In spite of the allure and glamour of buying larger apartment buildings, the number of units/ doors associated with a property is actually quite meaningless when you are considering the investment quality of the property. In contrast, the property fundamentals are far more important. These fundamentals include, but are not limited to, the stability or growth of the area, the market cap rate, the property cap rate, the rent growth, the market vacancy rate, the targeted leverage and cash on cash returns.
Why Are We Uniquely Qualified to Help You Find Investment Quality Multifamily Real Estate
- We introduce high grade multifamily properties that vary in size from 2 family homes in areas such as the Gold Coast, Lincoln Park, and Lakeview to larger apartment buildings on the south side of Chicago. Interestingly enough sometimes the price of a 2 unit building in an A class area can be the same cost as an 18 unit building in a C class areas.
- We specialize in A and B class properties that may have reposition opportunities, but they are not high maintenance headaches. Our primary area focus is the high value Chicago and suburban neighborhoods where appreciation is strong and rent growth is stable.
Why Choose Us for Multifamily Real Estate Investment?
We are one of a few full-service brokerage firms that can offer our clients the benefits described below:
- We aren’t a typical team of nice older ladies and gentlemen, who simply open doors to a property to show you inside. “Door opening” is fine for the typical residential real estate agent, but when you are purchasing a real estate investment, you deserve a team of experts who have the ability to guide you through the process of analyzing the quality of the real estate as an investment.
- Our buyers are represented by a team of two agents: a showing broker, and an analysis broker. The showing agent will either show properties or secure listings, and the analysis broker. The analysis broker is involved in the transaction to discuss key investment real estate related parameters and to help you analyze properties.
- If you are already an expert at analyzing multifamily investment properties, your real estate brokerage team will be a great resource and sounding board for your analysis. However, if you are new to analyzing multifamily investment real estate, we will provide you with the tools necessary to make a sound investment decision and assist you in your analysis.
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- We work closely with our clients to, first, determine their needs. For example, some clients are seeking the greatest possible growth, and they are willing to commit time and energy to reposition a property, which frequently requires substantial renovation. Some clients are comfortable managing C class properties and the issues associated with doing so, either by themselves or with our management assistance. In contrast many of our clients are simply professionals and business owners, who are seeking to capitalize on the financial benefits of owning real estate. However, they are seeking to avoid spending a lot of time managing a property. This would lead us in the direction of an A Class property in an A Class area, which would not be management intensive, or in the direction of having our firm manage a more labor intensive property.
- Once we understand the investment objectives of our clients, we then begin searching for properties that fit their criteria. Next, we ask them if they currently employ industry standard real estate analysis tools to evaluate potential investments. If so, we discuss the key financial aspects of the properties under consideration to assist them in making an optimal decision. In addition to finding great real estate opportunities for our clients, we are also their financial “sounding board,” their coach, and their deal negotiator. Some of our clients have never used analysis tools in acquiring a property, and in this case, we will introduce these tools and explain how they are used to analyze properties of interest.
Mr. Amatucci serves as the Managing Broker of Centarus Realty. He is the owner of Centarus Realty, and three other businesses which are in the capital markets and real estate investment industry. He possess over two decades of experience with operating a multifamily brokerage business, structuring multifamily investment transactions, and working with investors and investment banks to fund multifamily property acquisitions. In his other businesses, he oversees a team of capital markets and securities lawyers, capital markets consultants, and he maintains an affiliated relationship with a FINRA registered investment bank, which funds real estate projects throughout the country.
Mr. Amatucci holds a Bachelor of Science degree in Mechanical Engineering, and three advanced degrees, including a Master of Science, a Master of Arts, and a Juris Doctor. He is a graduate of Dartmouth College, New York University-Polytechnic Institute, and John Marshall Law School where he was an honored recipient of the Ronald Rosenberg academic scholarship, and where he graduated with Dean’s List honors. He has, also, been an active member of the Illinois and New York Bar associations, and he has been an adjunct real estate professor at Oakton College.