Sourcing & Closing
Laguna Point has sourced over 90% of its acquisitions off market, creating immediate value for its investors by avoiding a competitive, auction-style process in which bidders continually drive up pricing. These opportunities come from long-standing relationships where loyalty and past success are paramount, and they allow the company to focus on potential investments that have a higher likelihood of coming to fruition. Having acquired and disposed of over 40 assets, Laguna Point has an experienced team in place to process smooth closings, without delays.
Financing & Refinancing
The Company has deep experience in the multifamily debt market, having worked with dozens of lenders. Laguna Point is a Preferred Borrower of Freddie Mac, and has had frequent closings with Fannie Mae, various debt funds and multiple regional banks. With in-house legal resources, the company can navigate the loan process and associated documentation in a timely and less expensive manner. This approach typically saves, on average, tens of thousands of dollars in legal fees per transaction. In addition, our status as a frequent borrower enables the company to extract better-than-market terms of both upfront financing, as well as refinances.
The partners and asset managers at Laguna Point have extensive asset management experience and are particularly adept at driving business plans to successful completion. In addition, the flat nature of the company’s hierarchy enables it to be nimble and react quickly to market dynamics. For example, when the COVID-19 pandemic took hold, Laguna Point was at the forefront in its markets, immediately reducing operating expenses and creating strategic rent collection practices. This approach helped to preserve, and sometimes even increase, the cash distributions made to investors.
The business plans for most of our assets are extensive and typically include millions of dollars of improvements. The partners at Laguna Point combined have decades of construction management experience. With this comes relationships and experience in each of our markets that provides quality results at competitive costs. Our team is on site at assets under renovation multiple times each month, meeting with local vendors and suppliers to ensure quality workmanship. The company has completed or is in process on over $40 million of renovations and upgrades.
Laguna Point is an experienced seller with over $200 million in dispositions since inception. As such, the company has a record of maximizing price when selling properties. From the timing of sale to selection of sales brokers, Laguna Point takes a hands-on approach to asset sales which significantly increases the likelihood of a successful disposition. The company prepares for a potential disposition well in advance, taking extra steps to increase NOI and eliminate issues that would serve to distract potential buyers from pushing their pricing.