CHICAGO/EWORLDWIRE/Aug. 8, 2008 --- America 2030 Equity Chief Operating Officer Tony Piwowarczyk explained to a captive audience of Stock Broker Dealers at the 100th FSX Conference, that Multifamily Apartment Funds have not only outperformed the S&P 500, Russell 2000, DJIA, and NASDAQ from 1997 through 2007, they also perform well during tough economic times."During tough times investing in basic human needs is what investors should consider. We have the perfect storm here for multifamily apartment buildings, cheap debt, rising capitalization rates, inflation, restricted supply and millions of foreclosures - Anyone losing their home to foreclosure is out of the purchase market for the next ten years," Piwowarczyk said.
"Historically, apartment building operating costs increase less per year than rents, so you have real gain in value, via real gains in net operating income. This is what I refer to as the organic increase in an asset's value. In addition, over the past ten years we have seen fortunes made in commercial real estate through capitalization rate compression, that is, more equity chasing fewer assets. A volume of investors higher than the volume of new commercial assets coming online is what drove down cap rates, and we are seeing correction to that phenomenon," Piwowarczyk added.
"The cost of mortgage debt, the single largest expense item on an apartment building balance sheet, is at historic lows. Multifamily supply is restricted because builders have focused on condominiums and single family houses during the last ten years. Over one-third of Americans rent and that number is going to increase due to the return of previous renters forced back into the rental pool. Another contributing factor to multifamily housing fundamentals is massive U.S. population growth - Our name origin derives from the fact that there will be 70 million more Americans in the year 2030 than in 2007 when we assembled our firm. All seventy million new Americans need somewhere to live and thirty-four percent of them will be renters," remarked Piwowarczyk.
"Of course, our secret sauce is the proven, tenacious ferocity with which our CEO, American real estate expert Val Sklarov, approaches acquisitions - Val makes his money on the buy, then further uncorks value from assets by focusing on increasing net operating income; It's the one-two punch in real estate, to buy wholesale and increase value organically, through NOI growth. Val is known as someone that does not re-trade and will go hard on escrow money and follow through with, at times, an accelerated closing date. While institutional real estate buying committees are trying to agree on shrubbery, Val is executing purchase agreements," added Piwowarczyk.
For more information on America 2030 Equity visit 'http://www.America2030.com'">http://www.America2030.com'.
About FSX
FSX is the premier investment conference organization in the United States. Founded in 1983, FSX is a national organization comprised of independent FINRA broker/dealer firms. Through a series of regularly scheduled conferences, FSX brings these firms together with the purpose of sharing information and showcasing investment opportunities. The organization has hosted consecutive quarterly conferences for more than 25 years. FSX is one of the most reputable and established national alliances in the country for independent broker/dealers and their firms. More information about FSX is available at 'http://www.fsx1.com'.
About America 2030 Equity
America 2030 Equity's name origin derives from the fact that America's population is projected to swell by 70 million people, from 300 million to 370 million, by the year 2030.
America 2030 Equity executives began selling apartment complexes in 1984 and started their investment career, with the purchase of one rental house, in 1988. The America 2030 Equity acquisition team holds 38 years real estate experience completing more than 100 real estate transactions totaling in excess of $200 million. Since 1997, America 2030 Equity's asset managers have grown approximately U.S. $1.5 million equity to $52 million, representing a 10-year Annual Rate of Return of approximately 46 percent from July 1997 through June 2007.
Having proven themselves savvy real estate equity managers through bull and bear markets over the past 20 years, using only their own capital, the company's asset managers now turn their focus toward syndication of America 2030 for sophisticated, accredited investors. The information in this press release does not constitute an offer or solicitation for the purchase of interests in multifamily apartments.
Contact:
Tony Piwowarczyk (pee-vo-var-check), Chief Operating Officer
America 2030 Equity
2227 Lakeside
Bannockburn, IL 60015Tel: +1 (847) 582-1600
Fax: +1 (847) 201-2690
'http://www.America2030.com'">http://www.America2030.com'
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