SVN | SFRhub Advisors Leads the Nation with $1.5 Billion Portfolio Pipeline, Seeks $3 Billion by 3Q 2018
PHOENIX, ARIZ. – SVN | SFRhub Advisors is a new Phoenix-based commercial brokerage firm that is the first to specifically focus on single-family residential rental portfolios (SFR) and new build for rent (BFR) investment portfolios from 5 to 5,000 homes. Jeff Cline and Michael Finch, commercial real estate experts, will lead the national firm.
“SVN | SFRhub Advisors will be the nation’s first completely dedicated SFR/BFR brokerage,” said Jeff Cline, principal at SVN | SFRhub Advisors. “Investors are seeing an incredible opportunity with the ongoing rental shift national, with three out of the five living generations either considering or preferring renting than homeownership.”
For the first time in our nation’s history, rental household formation is outpacing home ownership formation. According to the U.S. Census Bureau in 2016, 53.9% of household formations were rentals. Gross SFR Investment market depth was estimated at $3.1 trillion dollars in 2016, according to Amherst InsightLabs, Amherst Capital. Commercial grade SFR rental investment portfolios recently eclipsed multi-family transactions, according to JCHS - Harvard tabulations of the U.S. Census Bureau 2013-2015.
SVN | SFRhub Advisors expects to hire more than 40 employees over the next few months. The new brokerage is an independently owned franchise of SVN International Corporation based in Boston. All SVN offices are independently owned and operated.
“This growing commercial asset class has triggered the need for a new CRE brokerage platform,” said Michael Finch, principal at SVN | SFRhub Advisors. “Historically, residential rental investments have been difficult to scale because of the lack of clean and verified data and the high opportunity cost for individual home transactions. By the third quarter, SVN | SFRhub Advisors will launch a new advanced technology solution-based platform that will reinvent the current SFR investment marketplace.”
The new platform is SFRHub.com, an acquisition and research data transaction website, benefiting both sellers and buyers. With a $1.5 billion gross transaction pipeline containing portfolios across the country, the team at SVN | SFRhub Advisors is looking to expand their transaction base to $3 billion by third quarter 2018.
“SVN | SFRhub Advisors is the only brokerage firm I’m aware of in the country to focus on this new asset class. The new online tool is truly a disruptive platform, creating a solution-based opportunity to offload these properties which has historically been a challenge in one-off sales without clean and verified data,” said Todd Farnsworth, former vice president of acquisitions for Invitation Homes and currently CEO of RealSense.
To support the inventory growth, they are extending an exclusive invitation to owners of multiple residential rental properties to join their beta digital platform. The platform is poised to disrupt the commercial real estate industry similarly to how the Internet transformed travel and stock market trading. SFR Hub.com will allow members to easily locate, research and transact SFR & BFR residential rental investment portfolios. All the contract documentation, title insurance, due-diligence and logistics through the final close of escrow will be supported with licensed real estate professionals.
SVN | SFRhub Advisors is holding events in targeted markets across the country to invite brokers and portfolio owners to join the site. Events will be co-sponsored by a local broker of record. Schedule:
- Tulsa, Okla. – March 27
- Oklahoma City – March 29
- Memphis, Tenn. – April 3
- Nashville, Tenn. – April 5
- Houston – April 10
- Cleveland – April 12
- Indianapolis – April 17
- Chicago – April 19
- Phoenix – April 24
- Atlanta – April 26
- Tampa, Fla. – May 1
- Orlando, Fla. – May 3
Interested parties can register for the events at SFRHub.com/events.
Jeff Cline and Mike Finch were previously senior advisors at SVN RealStar Advisors in Scottsdale. They will leverage SVN's unique cooperative commercial real estate network that enables advisors across the country to identify opportunity in other states.
SVN | SFRhub Advisors is located at 2400 E. Arizona Biltmore Circle in Phoenix. To learn more and secure an exclusive beta user invitation, please visit www.sfrhub.com.