Strategies for Multi-Family Real Estate Capital Allocation
AIR
COMMUNITIES
The most efficient and most effective way to allocate capital to multi-family real estate
Significant upside potential through disciplined paired trades and deployment of the AIR Edge
(+) Disciplined
External Growth
Opportunity
Class of 2021 (1) acquisitions represent ~7% of AIR's total portfolio and is growing at ~2x the rate of the
Same Store
•
Class of 2022(1) completed acquisitions (see Page 4) increases the allocation to ~9%
•
Target is ~15% of total portfolio in properties new to the AIR platform with NOI growth at ~2-3x market
levels in Years 2-4 under AIR's ownership
•
Key assumption: ability to source new opportunities as Classes revert to market after Year 4
2022 Change In Blended Signed Lease Rates (%)
Class of 2021 outperforming underwriting
NOI yields expected to materialize as leasing performance earns in
On track for ~50%+ higher growth in Q4 2022 relative to AIR'S SSNOI growth
(1)
22.1%
13.8%
23.4%
27.9%
26.6%
27.0%
15.3%
13.9%
14.4%
13.5%
Jan
Feb
Mar
Apr
May
Class of 2021 (1)
AIR Same Store
Illustrative Impact at Full Deployment
~35% expected increase in rate of portfolio NOI
growth at targeted ~$2B total allocation
Class of 2021 acquisitions defined as City Center on 7th, North Park, Huntington Gateway, Vaughn Place, and Residences at Capital Crescent Trail. Class of 2022 acquisitions defined as the Reserve at
Coconut Point and Watermarc at Biscayne Bay.
3View entire presentation