While many real estate investment firms are still sitting on the sidelines waiting for the Fed to cut interest rates, Cardone Capital has solidified its position in the multifamily market by acquiring 10X at The Forum, a prestigious 252-unit Class A property located in the vibrant Ft. Myers area. This move marks a strategic expansion of Cardone Capital’s portfolio and underscores its unique investment approach in the current economic climate.
Strategic Debt-Free Transaction
The acquisition, which closed on March 22, 2024, was completed without incurring any debt. This strategy is particularly striking given the prevailing high-interest-rate environment, which has left many debt-dependent private equity firms in a state of limbo. Grant Cardone, the driving force behind Cardone Capital, highlights this accomplishment, saying, “This demonstrates Cardone Capital’s unique investment strength as debt-dependent private equity firms largely are pencils-down in the current high-interest-rate environment.”
The Class A property aligns with Cardone Capital’s esteemed brand. Ryan Tseko, EVP of Cardone Capital, reflects on this alignment: “The property’s location, 2017 vintage, amenity offering, and excellent quality of construction fit seamlessly into our 10X brand.”
Portfolio Expansion and Mission Focus
With this acquisition, Cardone Capital’s multifamily portfolio surges to an impressive $4.4 billion in assets under management (AUM), spanning 39 Class A assets and encompassing 12,700 units predominantly across the Sunbelt region. A significant 75% of this portfolio is strategically situated within Florida, with the firm actively seeking further acquisitions in high-growth areas such as Tampa, Orlando, Sarasota, Ft. Myers, and Miami/Fort Lauderdale.
Cardone Capital’s mission revolves around providing both accredited and non-accredited investors access to institutional-quality real estate investments that promise strong, consistent cash flow and significant long-term capital appreciation. Since its inception, the firm has invested $1.2 billion of equity on behalf of its investors, disbursing nearly $300 million from operations. In 2023 alone, Cardone Capital provided its 13,600 investors with distributions nearing $60 million.
Launch of Cardone Equity Fund 23
Looking ahead, Cardone Capital has recently launched Cardone Equity Fund 23, a new $150 million investment vehicle. This fund is poised to target high-quality assets in high-growth markets, providing investors with an opportunity to leverage Grant Cardone’s acumen in identifying distressed opportunities and special situations.
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This article Cardone Capital Completes All-Cash Acquisition In Florida, While ‘Debt-Dependent Private Equity Firms Are Largely Pencils Down’ originally appeared on Benzinga.com
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