Mid Atlantic Real Estate Investments Inc. is a real estate investment company based in the Mid-Atlantic region of the United States. With offices in Maryland and Virginia, the firm focuses on acquiring and managing residential and commercial real estate properties. In this article, we will take a comprehensive look at Mid Atlantic, reviewing their investment strategy, portfolio, performance, fees, and more. We will also examine recent client reviews to gain insight into their customer experience. With over $500 million in assets under management, Mid Atlantic is an established player in the real estate investment industry. Understanding their approach can help investors determine if they are a good fit for their investment goals.
Mid Atlantic Focuses on Value-Add Multifamily Properties
The core of Mid Atlantic’s real estate investment strategy involves acquiring and renovating Class B and Class C multifamily properties, mainly garden-style apartments. They target assets priced below replacement cost in markets with strong demand drivers, such as major universities or growing employment centers. After acquisition, Mid Atlantic implements upgrades and improvements, including exterior and interior renovations, amenity additions, and unit upgrades. This value-add approach enables them to increase rental rates and property value. Mid Atlantic’s portfolio contains over 15,000 multifamily units concentrated in cities across Maryland, Virginia, North Carolina, South Carolina, and Tennessee. The company touts its hands-on approach, with in-house construction, maintenance, leasing, and property management teams.
Fund Performance Has Been Strong But Fees are High
Reviewing Mid Atlantic’s fund performance shows strong returns but also high fees. Their flagship MAIF1 fund has delivered average annual returns of 15.4% since inception in 2011. This significantly outpaces broad US real estate benchmarks. However, the fund charges a 2% annual management fee and 20% of profits. This is at the upper end for similar private equity real estate funds. Investors need to carefully weigh the strong returns against the fees deducted. Mid Atlantic also offers lower-cost non- traded REITS focused on multifamily and self-storage. These provide easier access for smaller investors but have trailed the performance of MAIF1.
Mixed Client Reviews Reflect Service and Fee Concerns
Analyzing online client reviews for Mid Atlantic reveals a polarizing experience. On the positive side, many praise their strong fund performance and the team’s real estate expertise and responsiveness. However, a significant portion complain of poor customer service and lack of transparency around things like property valuations and fees. Some also believe the fees are too expensive given the passive nature of the investments. The mixed reviews suggest investors need to vet how suitable Mid Atlantic’s offerings and approach are for their specific needs. Strong returns may outweigh service concerns for some accredited investors. But those wanting a high-touch experience may be disappointed.
Consider Mid Atlantic for Value-Add Multifamily Exposure
In summary, Mid Atlantic Real Estate Investments provides accredited investors access to value-add multifamily real estate, primarily located in the Southeast and Mid-Atlantic. Their opportunistic strategy has delivered impressive returns. However, high fees and mixed client reviews warrant close evaluation. Investors bullish on actively-managed apartment properties can benefit from Mid Atlantic’s experience and portfolio. But more passive investors may prefer lower-cost alternatives. As with any investment firm, assessing alignment with your investment goals, risk tolerance, and service needs is key.
Mid Atlantic Real Estate Investments is an established value-add multifamily investor with a strong performance track record but high fees and mixed client reviews, requiring close investor evaluation.