Investment Thesis
AION Partners creates value through investment into under-managed multifamily workforce housing in the East Coast and Mid-West United States.
Multifamily housing is a deep and growing investment market
- The most liquid property asset class in the U.S. accounting for over $150bn of investment volume in 2018
- Risk adjusted returns have outperformed all other property asset classes over the long term
Workforce Multifamily housing dynamics are underpinned by the chronic undersupply of affordable market-rate apartments
- Workforce Multifamily housing targets <$75,000 annual income working class demographic (c.60% of the U.S. population)
- Availability and affordability continues to decrease and restrictive planning laws supress the development of new stock
AION creates value by investing and institutionalizing under-managed Workforce Multifamily stock
- Sourcing off-market opportunities at below replacement cost and refurbishing and re-positioning through intensive asset management
- Stabilizing and exiting investments to an extremely wide and deep pool of institutional capital
Operating platform is best in class
- +20,000 apartments
- Track Record: 28.7% gross IRR and 2.33x multiple across $1B
Exceptional management team led by Michael Betancourt
- The team have transacted over $3.8B in the US multifamily market generating above market returns to investors
- Characterized by capital discipline, operating efficiency and extensive local relationships