Avenue Living Real Estate Core Trust (Core Trust) is a private real estate investment trust that provides exposure to multi-family residential rental properties across 20+ markets in North America through the Core Trust’s investments in Avenue Living (2014) LP. With assets in both Canada and the United States, Avenue Living has strategically positioned itself to be the premier North American owner-operator of residential assets that caters to a niche multi-family residential market called “workforce housing.”
Assets under management
$0B+
Properties
0+
Multi-family Suites
0
Annualized return since inception* (class f)
0%
Assets under management
$0B+
Properties
0+
Multi-family units
0
Annualized return since inception* (Class F)
0%
* Inception 2017 Note: Returns net of fees, inclusive of reinvestment of distributions. Figures presented for the year ended December 31, 2023
Investment Strategy
Since the first purchase of 24 doors in Brooks, Alberta, Avenue Living has scaled rapidly by applying its investment strategy of acquiring assets below replacement cost and finding value in markets others overlook. Avenue Living seeks to acquire multi-family assets across Canada and the United States with attractive operating characteristics that may require some capital upgrades. There is an additional focus on long-term portfolio stability through active sales and leasing, responsive services, and strategic capital improvements.
In June 2021, the Avenue Living Core Trust acquired the Huntington portfolio — comprised of Huntington Hills Coach Homes, Huntington Court Coachhomes, and Huntington Townhomes — a 361-unit community in Edmonton, AB. We identified opportunities for maximizing returns through optimizing rent growth and implementing expense reduction strategies via active management and strategic capital investments.
Today
What We Did
Since acquiring the properties, we have invested over $6.2 million in the Huntington properties. In 2023, over 11% of the units underwent significant upgrades, totaling approximately $190,000 in investments (as of November 2023). The enhanced value proposition of the asset has fueled additional revenue growth through increased rents and ancillary fees, paired with cost-reduction measures and strategic renovations.
Market
Edmonton, AB
Acquisition Cap Rate
5.00%
Total capex spend
$6,525,293 CAD
Purchase price
$62,393,910 CAD
Number of units
361
Implied Cap Rate
8.49%
NOI at purchase (PREVIOUS T12)
2024 BUDGET NOI
% NOI increase
NOI Growth
$3,119,695 CAD
$5,851,923 CAD
88%
Pre-Capex
Post-capex
% rent increase
Average Rent
$1,228 CAD
$1,642 CAD
34%
% NOI INCREASE
2024 BUDGET NOI
NOI at Purchase (Previous T12)
NOI Growth
$3,119,695 CAD
$5,851,923 CAD
88%
% RENT INCREASE
Post-capex
PRE-CAPEX
Average rent
$1,228 CAD
$1,642 CAD
34%
Case Study
Edinburgh Place
Regina
At acquisition
Opportunity
In January 2022, we purchased Edinburgh Place, a 96-unit townhouse community in Regina, SK. The property presented an opportunity for occupancy growth, market rent growth, and ancillary growth. By implementing value-add capital projects and enhancing services, we determined we could attract incoming migrants within the workforce housing demographic to occupy vacant units at market rental rates.
Today
What We Did
In the year following the acquisition, we replaced exterior siding, upgraded stairwells, and repaired sidewalks. Implementing the Avenue Living service standards, in addition to undertaking value-add projects, supported rent growth that exceeded prevalent market conditions.