CrowdStreet: Florida Affordable Housing Portfolio

Real estate investment platform CrowdStreet announced an offering for a portfolio comprised of multifamily affordable housing properties in Florida.

The Florida Affordable Housing Portfolio includes three fully occupied, cash-flowing, affordable housing properties in the Orlando metro area. Population growth combined with a shortage of housing has created surging demand for affordable housing, providing an opportunity for portfolio sponsor Phoenix Realty Group.

According to U.S. census data, Orlando’s population grew by 20% between 2010 and 2020.  With metro area’s population expected to grow by another 10.4% over the next five years, according to CoStar Group, demand for housing is expected to grow. 

The Orlando metropolitan statistical area (MSA) has the third-most severe affordable housing shortage of major U.S. metros, according to a 2022 report by the National Low Income Housing Coalition, The imbalance between a growing population and the shortage of affordable housing market will help Phoenix Realty Group maintain occupancy rates above 95%.

The three properties in the portfolio qualify for a 100% real estate tax exemption under Florida House Bill 7061. That will result in significant cost savings through the duration of the holding period.

The tax savings combined with property improvements are expected to boost the overall value of the property, which will benefit investors at the time of exit. The capital improvement project includes exterior paint jobs, roof replacements, amenity upgrades and addressing general maintenance needs. Improved marketing and leasing strategies also are on the horizon. 

Phoenix Realty Group is a private real estate investment firm focusing exclusively on multifamily assets across the country. Over the course of its 30-year history, the company has accumulated a portfolio valued at more than $5.5 billion. The firm manages real estate assets valued at more than $1.96 billion. PRG also has extensive experience in the affordable housing sector, with over 15,000 affordable housing units acquired or developed throughout the U.S.

The minimum investment for Florida Affordable Housing Portfolio is $25,000. The investment window will open 30 minutes into the live webinar at 10 a.m. April 3 on the CrowdStreet platform.

View details on CrowdStreet’s offerings

Photo courtesy of CrowdStreet