Investments with Family Offices
Investments with Family Offices
2840 Sedgwick Avenue, Bronx
In the period between 1986 and 2004 the Sponsor was responsible for the acquisition and disposition of over 165 properties with a value of over $600 million and providing returns averaging above a 20% IRR.
Rick Aidekman has been in the business of acquiring and owning Rent Stabilized properties in New York City since his first acquisition in 1985. He and his partner first started acquiring properties with the investments of friends and family. In 1994, with over 600 units in 12 buildings a partnership was developed with Trust Company of the West, one of the largest pension fund advisories in the United States. With their financial backing and that of their offshoot, Oaktree Capital, the portfolio increased to 3,000 units in late 1998. At that time Oaktree and TCW decided to monetize their investments. Mr. Aidekman brought in Prudential Real Estate Investors as his new financial partner. In the period from Prudential’s first investment in April 1999 through 2002, the portfolio grew to over 8,100 units in 167 buildings in Manhattan, Brooklyn and the Bronx with a combination of capital from Prudential, various high net worth individuals and the Oregon State Pension fund. In 2003-2005, Aidekman determined that the opportunity existed to sell in to an unusually hot, and overpriced market. It was agreed among the various partners to sell the properties into this hyper valued market. The average yield exceeded a 20% IRR for the various periods that the properties were owned. Mr. Aidekman and his team are known for providing among the best services and conditions for their tenants that generally results in many cases to the achievement of higher than market rents. His tight control of repairs and maintenance and fuel costs are the most significant areas on the expense side that positively affect returns.
