[CEO of Break of Day Capital, Gary Lipsky ]
As we head further into 2023, investors are increasingly looking for stable, long-term investment opportunities that can withstand market volatility. Real estate has long been considered one of the best places to invest. Led by CEO Gary Lipsky, Break of Day Capital’s focused investment strategy and commitment to asset management have earned it a reputation as one of the top real estate syndication companies in the market.
The Power of Expertise: Break of Day Capital’s Focus on Select Markets
Break of Day Capital has honed in on a few key markets with untapped potential for real estate investments. The company primarily invests in multifamily properties in growing markets with a strong economic outlook indicated by factors like job growth, population growth, and low unemployment rates. Lipsky and his team have identified several markets in the Southwest that meet these criteria, including Tucson and Phoenix, Arizona.
By focusing on these areas, the Break of Day Capital team have fully immersed themselves in the local real estate markets, developing relationships with local brokers and property managers, and quickly identifying investment opportunities with promise.
“We believe that expertise is critical to long-term success in real estate investing,” Lipsky says. “By focusing on a few markets, we can really become experts in those markets and understand the nuances of those markets.” That level of expertise allows Break of Day Capital to identify and capitalize on investment opportunities others may overlook. This targeted approach, he says, has allowed the company to consistently outperform the broader real estate market and deliver strong returns to its investors.
Maximizing Returns: How Break of Day Capital Uses Key Performance Indicators in Real Estate Syndication
Lipsky says he’s proud of Break of Day Capital’s reputation for maximizing returns through its robust system for measuring and improving performance.
“KPIs are essential for measuring progress and success in any business, and real estate syndication is no exception,” he says. In particular, the company focuses on key performance indicators like occupancy rates, rent growth, net operating income (NOI), and cash flow to track progress, identify areas for improvement, and make data-driven decisions.
This approach enables the team to invest in properties strategically, sell at the right time, and optimize performance. By continuously monitoring these metrics, he explains, the company consistently outperforms industry averages, and as a result, clients trust the team’s ability to use data and analytics to inform investment decisions and deliver strong returns.
“We take pride in our ability to use data and analytics to inform our investment decisions and deliver strong returns for our investors,” he adds. By keeping a finger on the pulse of the market and staying flexible, Break of Day Capital adapts to changing conditions and identifies new opportunities for growth and success.
From Bestselling Author to Award-Winning Syndicator
The path to building a thriving real estate syndication company is a challenging one that requires a deep understanding of the market, strong leadership, and a solid team of experts. While much of Break of Day Capital’s success in bringing those elements together is due to Lipsky’s vision, Lipsky says what truly sets it apart from the competition is the team’s “secret sauce”—an asset management approach that’s been honed through years of experience and research.
With a team of seasoned experts and Lipsky’s best-selling book on the subject, the company has used data-driven decisions to maximize NOI and optimize returns, not to mention garner accolades for its work. Recently recognized as the Best Real Estate Syndication Company by the American Apartment Owners Association (AAOA), Break of Day Capital’s story is a testament to the power of expertise and a focused investment strategy.
Maximizing NOI in Multifamily Real Estate Investments
Break of Day Capital’s strategy for maximizing net operating income (NOI) in multifamily investments is a key factor in its success, and Lipsky emphasizes the importance of timing when it comes to monetizing properties.
“We are always monitoring the market to identify the optimal time to sell a property,” he says. “It’s important to strike a balance between holding onto an asset for too long and leaving money on the table, or selling too early and missing out on potential gains.”
Break of Day Capital’s strategy for maximizing NOI in multifamily investments is centered around acquiring underperforming properties and repositioning them for higher returns. According to Lipsky: “Our focus on Class B and C properties, distressed sellers and properties that offer affordable or workforce housing has allowed us to identify attractive investment opportunities with high potential for value-add opportunities.” By investing in properties with these characteristics, he says his team is able to make upgrades that enhance the living experience for residents while also driving higher rents and NOI.
This approach, he says, requires a deep understanding of the market and a willingness to be patient. Lipsky notes that “investing in real estate is a long game” and that Break of Day Capital is, indeed, focused on long-term growth and stability. “We don’t chase short-term trends or get caught up in the hype of the moment,” he says. “We stay disciplined and stick to our core principles, (a strategy) which has allowed us to consistently deliver strong returns for our investors.”
Real estate has long been considered a stable and lucrative option for investors seeking to build wealth over the long term. With its ability to generate steady cash flow, provide a hedge against inflation, and offer potential capital appreciation, Lipsky says, real estate investments can play a key role in diversifying a portfolio and achieving financial goals.