It’s no secret that the residential real estate market is under stress. In many areas, prices have fallen and development projects have been put on hold.
It is in this environment that Ashford Capital finds the most exciting opportunities.
As residential developers and builders have run out of funding, many banks have been forced to repossess land parcels – often after the infrastructure has already been put in place. In some cases, these banks have ultimately failed, and the FDIC has taken possession of the assets.
Ashford Capital has built relationships with with both the banks and the FDIC, allowing us to negotiate purchases of the most attractive of these assets at rock-bottom prices.
Once a development is purchased, Ashford maintains the property and begins negotiating with residential developers and builders. Once again, our rolodex of contacts in the industry is one of the issues that separates us from our competition.
Upon sale of the property to a new developer or builder, investors receive a return of principal (including management fees) along with a preferred rate of return. Excess profits are then split between Ashford Capital and our investors.
The typical holding period for our investments is 12 to 36 months. Of course each investment is unique and the holding period is affected by many issues such as market demand, employment trends, capital markets, and general economic conditions.
Contact Us today to discuss the individual investment opportunities currently available.