Multifamily Investing

Benefits

The Top Performing Commercial Real Estate Sector

Institutional investors have long understood the merits of holding private real estate in their portfolios. In fact, most endowments, pension funds and asset managers allocate 10% – 15% of their investment portfolio to real estate. They have relied on this asset class to:

Bolster Portfolio Returns

Balance Market Uncertainty

Generate Tax Advantages

Over the last 25-years, multifamily real estate provided the highest average annual total returns of any commercial real estate sector with the second-lowest level of volatility.

The Virtues of Investing in
Multifamily Real Estate

The multifamily sector has four unique features that drive superior risk-adjusted returns when compared to other commercial real estate categories:

Demand

Everybody Needs a Place to Live

Housing is a necessity and a basic human need that will always be in demand. The national occupancy rate for stabilized multifamily assets closed out 2019 at just over 95%.

Stability

Risk is Spread Across Multiple Tenants

Multifamily properties produce monthly rents, with the risk of default spread among multiple tenants. A single tenant represents a relatively small percentage of overall income, and minor changes in occupancy will not significantly impact cash flow.

Tax Benefits

Superior Shelter to Other Asset Classes

The unique use of depreciation and cost segregation to accelerate depreciation capture produces the most favorable income tax treatments of any asset class. Provisions in the Tax Cut and Jobs Act of 2017 effectively shelters all property income (and more) through the life of an investment.

Flexibility

Short Term Leases and
Low Re-tenanting Costs

When you spread small increases across 50 or 100 or 200 tenants on a property it can create huge increases in cash flow that create even bigger increases in value.

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Insights

Our Latest Content

Net Operating Income: Evaluating Commercial Real Estate Investments

Oct 29, 2020 | Industry News, Insights, Real Estate Investing

When evaluating real estate investment opportunities, it is critical to fully understand the importance of Net Operating Income (NOI).NOI is a profitability formula often used in real estate to measure a commercial property’s profit potential and...

What is a Real Estate Sponsor?

Oct 22, 2020 | Insights, Real Estate Investing

Every industry has its own jargon, and the business of investing in real estate is no exception. Terms like real estate sponsor, promote, preferred returns, ladders, waterfalls, GP, LP, and IRR are tossed around routinely in the deal room but may...

The Lifecycle of a Commercial Real Estate Investment : Acquisition, Operation, Disposition

Oct 20, 2020 | Real Estate Investing

All commercial real estate investments progress through three distinct stages, which together make up the asset ownership lifecycle. So, what are the three phases of a commercial real estate investment? We differentiate them as acquisition,...

Shawn Hoban

For over three decades, Shawn has been responsible for establishing and growing each of the operating businesses in The Coast Group of Companies and Hoban Family Office. It all started in 1987 when he co-founded Coast Property Management alongside his brother Tom after identifying the need for a high performing, values-based property management company. Coast has long since grown into The Coast Group which is a vertically integrated, privately owned family of real estate companies. Coast is one of the region’s largest and most respected real estate services firms of its kind with offerings in property management, facility services, specialized construction, advisory, and investment services.

Shawn is an integrator and strategist for the Hoban’s various ventures with a particular gift of taking complicated situations and making them executable. A leader with strong character, Shawn also
possesses a competitive streak that has shaped the success of their ventures together.

The Hoban Family Office, the holding company for the operating businesses, brings innovative ideas to the commercial real estate industry through Coast Innovation Center while serving the charitable causes of the Hoban family and the Coast Group. He is passionate about identifying and developing talent to
support their businesses, while mentoring the next generation of leaders inside and outside of his family.

His service and awards include Top 40 Under 40 Business Executive by the Puget Sound Business Journal, Director for The University of Notre Dame Alumni Association, Archbishop Thomas J. Murphy High School Board of Trustees Chair and Board of Regents, Fulcrum Foundation Board of Trustees, Vistage, Entrepreneur’s Organization (EO), and many other community organization throughout the Pacific Northwest and U.S. The brother’s ventures together earned them two very prestigious awards: The Washington State Family Enterprise Institute’s Family Business of the Year and The University of Notre Dame Alumni Association of Seattle co-alumni of the year.

Shawn holds a Bachelor’s degree in Business Finance from the University of Notre Dame and is both a Certified Commercial Investment Member (CCIM) and a Certified Property Manager (CPM) with the Institute of Real Estate Management (IREM).

Shawn and his wife, Kathie, enjoy travel and outdoor recreation on the Puget Sound while following the active lives of their four adult daughters and a growing generation of grandchildren.

Tom Hoban

Tom has over thirty years of experience as a property manager, real estate advisor, and investor. In 1987, he co-founded Coast Property Management alongside his brother Shawn after identifying the need for a high performing, values-based property management company in the market. Coast has long since grown into The Coast Group, which is a vertically integrated, privately owned family of real estate companies encompassing property management, facility services, specialized construction, advisory, and investment companies. Today, The Coast Group is one of the region’s largest and most respected
real estate services firms of its kind as it is able to leverage the different companies’ resources to provide the best possible returns for clients.

Built as an extension of their humble servant leader view of themselves, the Hoban brothers and their executive leadership teams have become synonymous with excellence, innovation, and reliability. Along the way, the brothers have been recognized for their professional accomplishments and work in the communities they serve, earning them the co-alumni of the year award from the University of Notre Dame alumni association and The Family Enterprise Institute’s Washington Family Business of the Year.

Over the years, they invited others who possessed complimentary if not superior talents to join them as partners and co-leaders in the Coast Group of Companies. In 2017, they formed The Hoban Family Office (HFO) to create a platform for innovation (Coast Innovation Center), talent development, and leadership in service to the Coast Group of Companies, their families and the communities they serve. It also serves as their charitable arm, with a focus on service to the poor and vulnerable and development of tomorrow’s leaders.

Tom leverages his vast network, engaging personality and refreshingly transparent approach into many venues, including his long-running column in the Herald Business Journal, as a freelance writer and as a guest speaker or lecturer all while serving on several boards or advisory functions, including Santa Clara University Real Estate School Advisory Board, Washington State University – Everett, University of Portland board of trustee’s, The Washington State Governor’s Affordable Housing Advisory Board, The
Commercial Broker’s Association of Puget Sound, Archbishop Murphy High School (Everett, WA), The Boys and Girls Clubs, chairman for the Snohomish County Airport Commission, The City of Everett
Economic Development Advisory Council, and others. The brother’s ventures together earned them two very prestigious awards: The Washington State Family Enterprise Institute’s Family Business of the Year
and The University of Notre Dame Alumni Association co-alumni of the year.

Tom graduated from The University of Notre Dame with a BA in Finance. A former coach, scoutmaster, and basketball referee, in his spare time today Tom continues plays recreational basketball, remains active in his church and enjoys time with his wife, two sons, and daughter on the Puget Sound.

Josh Jansen

Josh Jansen is Senior Partner with Coast Equity Partners and leads the firm’s acquisition, disposition and asset management functions.

Josh is a proven dealmaker that has led the closing of more than one billion dollars of multifamily transaction volume over the last decade. Prior to joining Coast Equity Partners, Josh was one of the top brokers in the nation for Sperry Van Ness, where he garnered national awards in recognition of his sales, strategic thinking, and leadership skills.

Josh is active in his community and has spent the last 7 years as a volunteer varsity football coach for a local high school. Josh also served as a founding board member of the Private Enterprise Coalition of Snohomish County.

Josh attended Occidental College in Los Angeles, where he earned a BA in Politics, as well as All-American honors as captain of the football team.

Josh, his wife Cheryl, and their two children enjoy travelling, hiking, and snow and watersports.

Mike Harmon

In 2004, Mike joined the Coast Group of Companies as President of Coast Equity Partners. Mike’s role is to drive the growth of Coast Equity Partners through the acquisition of investment properties that produce outstanding returns for our clients.

Mike brings many years of business leadership, entrepreneurial drive, and real estate experience to the table. He has held critical roles in the strategic management of high growth companies and early-stage technology start-ups. From raising capital on Wall Street to buying his first rental property while still in college, Mike brings a unique broad range of talents to Coast Equity Partners.

Mike’s entrepreneurial spirit is grounded in a solid business background. He has designed and managed the development of several mission-critical business systems for fortune 500 companies, participated in

the creation of new businesses and nurtured new growth opportunities for existing businesses. Mike has created and grown departments, successfully identified, negotiated, and closed strategic partnerships, managed key client relationships and secured new capital investments for the companies he has helped lead.

Since 1992, Mike has been engaged in the identification, acquisition and rehabilitation of real estate with excellent investment potential. His portfolio of properties includes residential holdings as well as rental properties in various markets throughout the Pacific Northwest and United States.

Mike holds a BS in Finance from San Diego State University and an MBA with concentrations in Marketing and Management from the University of Notre Dame.

Mike enjoys travel, youth coaching, winter sports, water recreation, golf and fishing. He lives with his wife and four sons in North Seattle and is active in his church, children’s schools and local community.