Our investment company was conceived more than 5 years ago by the understanding of its founders that they could combine their years of experience and network and form a venture that would be able to leverage their knowledge into feasible projects that would yield returns to them and their existing c…
Our investment company was conceived more than 5 years ago by the understanding of its founders that they could combine their years of experience and network and form a venture that would be able to leverage their knowledge into feasible projects that would yield returns to them and their existing client base.
The group been actively developing Real Estate for more than 4 years now and its proven track of success has led to an increasing amount of projects under their management which now exceeds 25 and more than $100 million under management, with a reputation well earned due to their solid returns.
To further expand their growth and network, the company has since then partnered with a construction company which has over 20 years of development experience on construction and management of properties, an alliance that has led to more than 20 successful projects and even more satisfied investors due to a shared vision of hard, responsible, honest and ethical work as the key to achieving great projects while also making themselves a name within the LA industry.
LOS ANGELES MARKET
Los Angeles is the second largest metropolitan economy in the United States after New York and is the main hub for entertainment being also a home for media, Internet and new technology companies. By featuring the largest port in North America, it is also the country's key gateway access for international trade with the Pacific Rim. L.A. is a major center for many important industries including entertainment, shipping, aerospace and pharmaceuticals. Furthermore, its diverse business base has helped the City expand from its manufacturing roots to become a leading global business center with many large companies headquartered within the metropolitan area. Additionally, L.A. is also the U.S. base of operations for numerous Pacific Rim companies and is one of that region's top financial centers.
Los Angeles features one of the nation's hottest Real Estate markets, and at 3.4%, the second lowest county vacancy rate nationwide. The median home value increased by 8.6% last year to reach $552,744 and is expected to continue this trend. Historically, the appreciation rate has averaged 3.7% a year (for the last 25 years) yet in the past five years the average outperformed the historical rate by increasing at a 6.1% annually.
OUR APPROACH
We firmly believe that Real Estate is one of the best wealth generating assets and we also understand that one should use properties as the main instrument to obtain a passive income that will allow investors to retire with the peace of mind that the income that they generate will allow them to pay their bills in the future.
We know that investing in Real Estate can be different than doing so in other asset types (especially the first time) since information is not so easily available which is why we believe in constant communication with our investors, while also being easily reachable to address any of our investors' concerns.
Finally, we also understand that every investor has different needs and desires and therefore we aim to provide great variety and flexibility in our projects. We try to cover projects that require equity for anywhere between $1,000,000 and $10,000,000 with holding periods that also greatly vary between 1.5 and 5 years, while currently working on increasing this amount even longer to cater to an audience that intends to buy Real Estate to keep instead for its cash flow instead of a quicker disposal for a large profit.
Feel free to contact us at info@solainvestments.com
BENEFITS OF INVESTING IN REAL ESTATE
Leverage: Real Estate is one of the few assets in which one can easily transfer some of the risk to a lender while capturing most of the returns for ourselves as investors. This enables us to achieve returns that would hardly be reachable outside the industry, or come at great risk.
Value appreciation: Appreciation refers to the rise of value within a property. It has many causes some being due to external factors (such as inflation) while some others are under the owner's control (such as upgrades to the asset). Historically, Real Estate prices have appreciated throughout time around a 3.71% for our market of reference and the rates since the recovery have been among USA's highest driven by a desire of people to live in big cities.
Limited Resource: The first one is that Real Estate assets are a scarce resource since the amount of land is limited. This means that a growing population is competing for a rather fixed number of properties driving the prices up.
Inflation Hedge: Unlike land money can be reproduced and an increase of supply of money will drive the worth of the existing stock downwards. With Real Estate, this simply does not happen, preserving the value of this asset while the value of dollar goes down. So even if it real terms our property's value is remaining constant, the monetary value of it will still be going up. Nonetheless, it is worth pointing out that property appreciation rates are higher than inflation rates proving that there is real capital growth besides the inflation coverage.
Diversification: Although Real Estate prices are linked to the market performance, they are less volatile than other assets because they are providing a really basic need which is housing and shelter. People can stop buying new phones, new cars and $5 coffees, but their first priority will always remain the same: housing. That's why although house prices might fluctuate during economic hardship, their prices will not fluctuate as much as stocks, and the same goes to rents which aren't as sensitive to changes in market conditions.
Monthly Cash Flow: Cash Flow is the difference between the income and expenses that a property generates. By making wise investments, properties will yield a positive cash flow even when paying mortgages. Usually this can be combined with certain tax benefits to maximize the funds obtained out of the property. In a normal scenario, a mortgage will have a fixed rate (and consequently fixed payment) and due to inflation and property value increases the rents will go increase , allowing a growing cash flow for the investor. Furthermore, once the property is paid in full, all the income that was used to pay for the mortgage is now money that goes straight into the owner's account.
At SoL.A. Investments mission is to provide investors with attractive current income and total returns while remaining focused on capital preservation. We strive to maintain a healthy margin of safety on every investment we make. SoL.A. Investments specializes in Real Estate Investment in southern Los Angeles, and we have built a full-service Property Development platform to ensure a steady cash flow for our investors.
In our Real Estate Investment business, we aim to provide outstanding customer service to our investors, who are primarily private parties who are seeking to make a profit from Real Estate Investing. SoL.A. Investments and consulting is the best investment for cash on cash return in the Los Angeles area. We would challenge any investor or agent to find something that gives a better return than our income properties.
Our hands off approach which means you never have to come to south central ever makes the real estate investing process simple and easy. We have the largest property management group in southern California which allows us the ability to take care of the property without any outside company saving you time and money, while taking the stress out of real estate investing.
Team (1)
Sectors SOLA Investments serves:
Real Estate
Consumer Services
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