American Community Development Group has declared its plans to take over six existing transitional single and multi-family housing assets. The properties when fully occupied will enable the company to include 36 more residents to its present capacity of 54. Its revenue will also go up from the present $324,000 to $540,000.
The company is planning to include and integrate the new properties into its functional structure to achieve more capacity growth in the next 6 to 18 months period. The company has received a number of enquiries from other private investment companies requesting its support to develop transitional housing from the available distressed housing stock. Offers have also been received for extension of pilot operations to markets where the distressed real estate costs exist. The company enhances revenue and shareholder value from such properties by accommodating its not-for-profit group of clients or others.
In transitional housing the company deploys a revenue model which allows a normal 3 bedroom property to earn over $30,000 per year instead of a normal rental income of around $12,000 from such properties rented to conventional tenant renting.
John Folger, American Community Development Group’s President, stated that currently the company takes over asset interests of commercial real estate properties with high occupancy, apartments and multi and single family homes and convert them in to transitional housing and let it out to government agencies and not-for-profit communities, thus keeping the properties engaged all the time.
Source: http://americancommunitydevelopmentgroup.com/