Investment Criteria
AION has a strict investment criteria based on decades of market experience
AION Partners was founded by Michael Betancourt and Siraj Dadabhoy who collectively have over 50 years of experience investing in real estate and have been investing together since 2001. AION Partners acts as Operating Partner on core-plus, value-add, and opportunistic real estate investments across the U.S. Since inception, AION has acquired and operated a $3.9 billion portfolio of multifamily assets. AION’s current portfolio consists of 20,000+ apartments across 58 properties, located primarily in the greater Mid-Atlantic and Mid-West regions of the U.S.
The Team identifies and capitalizes acquisitions by tapping an exclusive, established network of high net worth individuals and institutional partners for equity. On a historical basis, all deals were capitalized on a deal-by-deal basis.
To create a diversified platform for AION’s investors and build off it’s 10 year track record of investing in multi-family properties, AION successfully closed its first discretionary vehicle with $52MM of committed capital in 2019 and its 2nd discretionary fund over 225MM of committed capital in 2022. AION has invested in workforce housing assets across the United States, including the Sun Belt, and has chosen to focus on the Mid-Atlantic Region given its favorable market characteristics.
Acquire
Lever
Attractive Agency Financing, Efficient Capital Structures
Enhance
Return
Investment Criteria
Region | Primarily the Northeast and Southeast regions of the United States with the ability to invest outside of these regions |
Asset Type | Class B and C Multifamily Properties |
Asset Size | 100+ Units |
Investment Strategy | Value-Add and Core-Plus |
Key Criteria | Discount to replacement cost Non-institutional seller(s) Ability to implement CAPEX enhancement projects Ability to renovate units to achieve strong rental increases Ancillary fee income opportunities Utility recovery opportunities Mark-to-Market opportunities |
CAP Rates | 5% – 7% |
Leverage | Not to exceed 70% Loan-to-Cost |
Concentration | No one investment will make up more than 25% of the committed equity |
Portfolio Target Returns | 15%-18% Gross Levered IRR; 5% – 8% Cash-on-Cash Yield |
Deal Size | $10,000,000 – $250,000,000 |