Case Study · Jacksonville, FL
Scenario: Occupancy struggles, but not severely distressed
An occupied but underperforming ~400 unit community was leaking value through soft pricing discipline, bloated contracts, and tired amenities. CRES applied its operating lens and lifted annualized NOI 16.4%, creating roughly $9.5M in value at a 5.5% cap.
Current portfolio: 50+ properties, 10,000+ units, across 20+ active markets.
Who We Are
End to end multifamily asset management.
Consolidated Real Estate Strategies provides asset management and REO management for clients across the entire capital stack, from sponsors and equity partners to senior and mezzanine or preferred lenders. We work the asset from due diligence through disposition.
Our approach is hands-on and accountable. We underwrite the real opportunity, build the business plan, hold the on-site team to it, and report with full transparency until the value is realized. When capital execution is required, our construction partner SD-Cap delivers lender-grade oversight, with 300+ projects completed for CRES partners.
Every engagement runs on one of three business plan tracks, matched to where the asset and the capital actually stand.
Triage & Disposition Readiness
Stabilize operations and prepare the asset for an orderly sale or recovery.
Stabilize & Preserve Value
Hold the line on occupancy and expenses, protecting the basis already in place.
Reposition to Maximize Recovery
Execute a full value-add plan to drive a step change in NOI and exit value.
The Plan in Action
What we inherited, and what we changed.
The asset was occupied but underperforming. Demand generation was scattered, the pricing model chased rate while renewals leaked out the back door, contracts ran above market, and physical issues dragged on curb appeal and retention. CRES addressed each issue in turn.
The challenges
- Marketing. Reliance on drive-by traffic, ILS, and PPC and SEO with flawed guerrilla outreach.
- Pricing model. Pushing for rents while renewal rates leaked out the back door.
- Other income. Ancillary fees left well below market.
- Bloated contracts. Trash, landscaping, and extermination priced above market.
- Deferred maintenance. Chronic plumbing issues plus failing breezeways and balconies.
- Unusable amenities. Pool out of code, volleyball and grill stations neglected.
- Delinquency. Weak policy enforcement and inconsistent screening.
What CRES did
- ProductRemoved dead and downed trees, permanently fixed breezeways and balconies using replacement reserves, and resolved the chronic plumbing at the source.
- ProductCleaned up the volleyball and grill station areas, and worked with the city on the pool ordinance to install a new splash pad to meet code.
- PricingMade occupancy stabilization the first goal, retaining residents through minimal increases and minor one-time concessions, then began pushing rate once physical occupancy eclipsed 92%.
- PricingBrought base fees to market across application, admin, and pet, added a credit builder and forced-place insurance, and renegotiated landscaping, extermination, and trash with SIB.
- PromotionInstalled street-visible signage, reduced Apts.com spend to match its return, revamped PPC and SEO with CRES Impactful Marketing, and ran a preferred employer program plus direct mailer and flyer comp campaigns.
- PeopleRolled out the FLAIR management accountability tool, launched a positive review bonus for staff, and implemented stricter screening with the most stringent delinquency enforcement the municipality allows.
Economic Impact
The recovery in dollars.
Assumption: value created is modeled at a 5.5% cap rate. Occupancy variances are shown in percentage points. Figures are annualized as documented for this single asset and are not a projection of future performance.
| Metric | Start point | Completion point | Variance |
|---|---|---|---|
| Physical occupancy | 87.1% | 92.7% | +5.6% |
| Economic occupancy | 77.1% | 85.2% | +8.1% |
| Annualized revenue | $5,971,824 | $6,389,328 | +$417,504 (+7.0%) |
| Annualized expenses | $2,771,376 | $2,664,000 | ($107,376), 3.9% lower |
| Annualized NOI | $3,200,448 | $3,725,328 | +$524,880 (+16.4%) |
| Value created (5.5% cap) | $9,543,273 |
Bring us the asset that is not performing.
Whether the plan is triage, stabilization, or a full reposition, CRES runs your asset the way we run our own portfolio. Let’s talk about basis, recovery, and the path to value.
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