03 Mar Real Estate Management Business Plan
MSN Real Estate (MSN), an Oregon-based realty company, will provide benchmarked rental units in Eugene, Oregon. MSN's units will balance safety, cutting edge features, and a positive atmosphere for all tenants.
MSN will target 3 distinct customer segments. Students from the University of Oregon are the largest segment they will serve. This segment is growing at 7% a year with 18,000 prospective customers. This segment is especially attractive since most of the local rental properties that are geared toward students are run down, poor quality units. The second market segment is local professionals who are increasing at 4% and have 12,000 potential members. The last segment is faculty and staff of the University. This section is home to a 5% increase in growth and potential customers who could be 6,000.
At 6.7%, the apartment market has seen a steady increase in quality units at an affordable price. Oregon's fourth quarter rental rates remained steady at $697 per square foot (or $.79/square foot). Although the Oregon market is seeing rapid employment growth, there is not much new housing. MSN is pioneering this niche of affordable, quality living. It is also capitalizing upon the strength of Oregon's economic growth.
MSN Real Estate offers high-quality and comfortable rental units in Eugene, Oregon. MSN's apartment units offer state-of-the-art living conditions reflective of the rapid advancements in technology and a growing need for quality housing. Our company provides a safe, comfortable, and inviting environment for tenants. MSN's primary goal is to provide the best customer service possible, unlike many realty companies which are only concerned with making profits. Our main goals are tenant safety, happiness, comfort, and security. MSN keeps market prices competitive while working to expand the number owned units and increase total profits. We will work together as a cohesive and harmonious company, focusing on our mission. MSN’â€™s success is largely dependent on customer satisfaction. Equally important is employee satisfaction. MSN Real Estate founders are convinced that employee satisfaction will make the company succeed and be the key to their long-term success.
In year 2, the company will be financially sound enough to purchase its second facility. The company is currently in negotiations with the owners of a downtown Portland apartment building that houses 20 units. It is difficult to predict changes in the building values over the long term, but it is estimated that we will be able to purchase this building for $570,000.
Financial Highlights Year-by-Year
To get started, we will receive $1,250,000 from different sources. An angel investment company of 1,000,000. A loan of 200,000. Lastly we will get $50,000 from the two owners