Every market will be different. It’s really about the real estate property you locate and how it is an opportunity relative to what’s on the market.
Where are the best value-add opportunities?
We are a real estate fund that has traditionally invested in ground up construction deals. We are looking to diversify our approach and have been doing some research with regard to value-add real estate opportunities. It appears that such ventures offer the potential for a pretty significant ROI. Which markets and asset classes are ripe for value-add opportunities?
Many investors find the best niche to be value add. There is less risk than ground up construction. There is no one answer to your question. Value add opportunities are hard to come by. You need to work with a reliable advisor, depending on the industry and location. My inclination is that the disruption in retail today may yield the best opportunity. But it is a high risk game and you need a sophisticated advisor.