This transformative downtown Indianapolis development includes The Alexander – a world-class LEED Silver business hotel, conte...
In January 2015, Buckingham was contacted by the new owner of a 214-unit Class A community in Indianapolis’ affluent Center Grove School District. This client was new to the multifamily arena and had acquired the asset out of a troubled partnership situation. Seeking a partner to not just manage the property but drastically improve performance was the first challenge, and Buckingham answered the call.
Buckingham proposed a management services agreement and strategy for immediate takeover within 30 days of the initial contact. We immediately mobilized a team and began an abbreviated due diligence process. Preliminary review showed a 20% vacancy, vacant positions, and several uninhabitable units. This was just the beginning. The existing management company relinquished control early, leaving the property without operating staff. Due diligence revealed a 29% vacancy rate.
Buckingham assumed management within three weeks of initial contact, provided temporary staff immediately to continue operations, hired a new staff with in-house talent acquisition resources, executed a substantial due diligence study and subsequently provided the client with transition expectations and strategy for a 30-, 60-, and 90-day operations as well as a financial timeline. By the end of the 90-day transition plan, Buckingham had cut vacancy in half to 15% and increased rents by 0.85%. By the end of Q3, Buckingham had successfully reduced vacancy from 29% to 4.7% and had increased rents by 2.4%. In addition, as with all other Buckingham-managed properties, LRO Rent Maximizer is now being implemented to fully maximize rents heading into the first full stabilized year of operations.
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