Cash on Cash return for Apartments

[Jeff Quinlan]

Hello All, I am new to Apartment investing. I am curious for those that invest in this space what you shoot for as a minimum for ConC return??

[Michael Ealy]

Originally posted by @Jeff Quinlan:

Hello All, I am new to Apartment investing. I am curious for those that invest in this space what you shoot for as a minimum for ConC return??

 Depends on the deal, the location, and your goals.

But the deals that we get have a COC of about 8%-12% and a project IRR of 30-40%. We give our investors a 6-8% pref (so they get paid first) and even with 30% equity share, they end up with about 15-18% (or even higher) investor IRR.