Mashcole Property Management, Inc. has extensive experience in assisting its clients with the acquisition of multi-family assets through the due diligence process. If, in fact, you plan on using Mashcole’s services to manage your multi-family asset, the company will perform a detailed due diligence survey free of charge. The scope of this due diligence includes (and is not limited) to the following.
Unit by Unit Inspection
Mashcole is prepared to walk 100% of the units while filling out a detailed inspection form, allowing us to prepare a report that summarizes the capital needs required on the unit interiors. These items include (but are not limited to) the replacement of appliances, vinyl, carpet closet doors, etc. We also look for roof leaks, mildew and any other issue that may present a problem for the buyer. Mashcole is happy to share these reports with you upon your request.
Additionally Mashcole will prepare a detailed market survey for the asset you plan on purchasing. The market survey will include those assets that are most “comparable” to your property and will allow us to recommend market rates for your acquisition.
Detailed Operating Budget
Mashcole will also prepare a detailed operating budget for your acquisition provided it is given 1-2 years of historical operating numbers for the subject property. Given that Mashcole Property Management, Inc. presently oversees 170+ assets, the company is well versed with “how” a property should operate and its “assumptions/metrics” as it relates revenue and expenses.
Mashcole will have a lease audit team put together a detailed spread sheet that will quickly identify any differences that exist between the rent roll and lease rates associated with the property. This “lease audit” also allows for the identification of any discrepancies that exist between the leases and rent roll as it relate to security deposits. It is imperative to your acquisition that these discrepancies are quickly identified because the lease is always the governing document.
As mentioned above, Mashcole has access to many vendors and contractors that will help the company perform the due diligence that will allows it to assemble a capital expense budget. In particular, it is very important to have both a roof inspection and a termite inspection that will help identify any issues with these components that may exist. Additionally, Mashcole has many other vendors including, and not limited to, asphalt, concrete, pool, landscape, electrical and painting resources that will assist with the preparation of this document. We would enjoy the opportunity to perform the Due Diligence for the acquisition of your multifamily asset.