The opportunity
Partnering with Delphi represents an opportunity to earn exceptional returns as a passive equity investor.
Opportunity highlights
Disrupt a highly inefficient Workforce Housing sector
Capitalize on the massive supply shortage in both single-family & multifamily housing
Acquire properties at a favorable basis in top U.S. growth markets
Partner with a sponsor that has substantial institutional experience
Benefit from principals within close proximity of all proposed investments
Invest in landlord-friendly states with no rent control
Benefits of residential real estate investment
Defensive asset class with favorable financing options and tax treatment
Low capital requirements relative to asset values
Strong demographic trends toward renting vs. owning
Excellent inflation hedge
Financial diversification
Attractive dividend yields with strong prospects for capital appreciation
Investment strategy
Bringing an institutional approach to a mom & pop business
Delphi focuses on opportunities that fall below the institutional radar. The vast majority of single-family homes and apartment buildings are owned by families or individuals whose primary expertise is not real estate. Maximizing returns on investment requires hands-on management as well as a high level of owner engagement and persistence.
Delphi has an extensive real estate background and a deep understanding of how to extract maximum value from residential real estate. Delphi takes a hands-on approach, instituting procedural controls and meticulous expense management measures while adding carefully selected services and improvements in order to increase income.
Acquisition criteria
Quality real estate meets value-add
Above all else, our acquisition strategy centers on buying quality real estate in neighborhoods with positive attributes and long-term trends. Secondly, we focus on identifying opportunities where we can add value, such as through capital improvements, unit upgrades, better management, and strategic capitalization.
Target acquisitions
All Targeted Acquisitions
Class B to A micro-location
Infill locations with convenient access to amenities, transit, and job centers
In the path of new development and/or revitalization
Underperforming and/or undermanaged assets
Motivated sellers, Distressed owners/assets
Off-market transactions
Ability to obtain intermediate to long-term financing, with leverage up to 75% loan-to-value
Single-family residential
Long-term rentals
Fix & Flip
Multifamily
40 to 120 units and $5 to 20 million purchase price
Class B/C – Workforce Housing with non-institutional ownership
Pre-2000s vintage garden-style communities which can be acquired far below replacement cost