Sam Chandan, president & chief economist of Chandan Economics, welcomes you to ALEX Chatter — the leading source for small multifamily info.
In developing ALEX product, we identified several needs in the market. One of the most important of those needs was the need for specialized research. Not just about how the multifamily asset class was performing, but how small balance assets are performing.
How are the needs of the borrower in the small balance market different from what we have seen in the market as a whole? How are the renters different? How might we expect these assets to perform different over the course of an entire real estate cycle.
Here on ALEX Chatter, you’ll find the answers to those questions and more.
To stay informed on all things small multifamily, be sure to sign up for free email updates above. Thanks for joining us.
Small Balance Multifamily Investment Trends Reports
What is Small Balance Multifamily?
- ALEX Chatter is your source for small balance multifamily news, research and insight. Bookmark us to stay on top of all things finance and investment for small balance multifamily.
- So what exactly is small balance multifamily? That depends on who you are asking, but we’ll give our definition here
- The small balance multifamily market is comprised of apartments that can be acquired with a small balance loan. A small balance loan is typically in the $1,000,000 to $5,000,000 size range (up to $7,000,000 in select markets), and usually pertains to apartment communities with 5 to 50 units.
- Both small-cap apartments properties (5 to 19 units) and mid-cap apartment properties (20 to 50 units) can fall into the small balance spectrum. You will see small-cap and mid-cap terms used a lot by Chandan Economics, who will be providing exclusive research on these sectors.
- Most news and research sites dedicated to multifamily are tailored towards institutional or regional investors, who are primarily interested in institutional quality (large and well-amenitized) properties that far exceed this price range. The small balance market has been under served by both content and research, especially when you consider that nearly a third of all renters live in properties with between 5 and 49 units.
- That’s where ALEX Chatter and our content partners come in. Our goal is to keep you informed on the best practices for investing, financing and running smaller apartment communities. So if you like what you see — and we think you will — be sure to sign up for Chatter updates or follow us on twitter.