90-Day Acquisition Model
A structured and repeatable framework for identifying, underwriting, and closing small multifamily properties in Connecticut.
Purpose of the Model
The 90-Day Acquisition Model is designed to:
• Maintain underwriting discipline
• Control risk exposure prior to closing
• Align financing with conservative leverage standards
• Ensure operational readiness at transition
The framework divides the acquisition cycle into three defined phases, each with documented review checkpoints.
Purpose of the Model
The 90-Day Acquisition Model is designed to:
• Maintain underwriting discipline
• Control risk exposure prior to closing
• Align financing with conservative leverage standards
• Ensure operational readiness at transition
The framework divides the acquisition cycle into three defined phases, each with documented review checkpoints.
Phase I – Identification & Preliminary Underwriting (Days 1–30)
Objective: Determine whether the property meets baseline acquisition standards.
Activities include:
• Property intake review
• Market rent validation
• Expense normalization
• Vacancy stress assumptions
• Preliminary DSCR calculation
• Interest rate sensitivity testing
• Initial risk flag identification
Only properties that satisfy minimum underwriting thresholds advance to Phase II.
Phase II – Due Diligence & Financing Alignment (Days 31–60)
Objective: Validate underwriting assumptions and structure financing conservatively.
Activities include:
• Property inspection and condition assessment
• Unit-level review
• Contractor bid analysis (if required)
• Rent roll verification
• Trailing 12-month financial review (if available)
• Insurance review
• Title review
• Engagement with lending institution
Loan applications, if pursued, are submitted during this phase following internal documentation review.
Phase III – Closing & Transition Execution (Days 61–90)
Objective: Execute disciplined closing and transition into stabilized ownership.
Activities include:
• Final underwriting confirmation
• Loan commitment review
• Reserve allocation confirmation
• Insurance binding
• Lease file audit
• Operating budget finalization
• Property management transition planning
Post-closing controls include:
• Initial operating review within first 30 days
• Budget-to-actual tracking initiation
• Reserve verification
Embedded Underwriting Standards
The 90-Day Model incorporates conservative financial thresholds:
• Target DSCR ≥ 1.25x
• Target LTV range: 70–75%
• Minimum reserve allocation: 3–6 months PITI
• Stress testing prior to commitment
These thresholds serve as minimum standards and may be adjusted more conservatively depending on asset risk profile.
Disciplined Growth Framework
Growth is pursued through repeatable execution, not accelerated expansion.
The 90-Day Acquisition Model ensures:
• Consistency in underwriting
• Controlled capital deployment
• Transparent lender alignment
• Predictable operational transition
This structured approach supports long-term asset performance and responsible portfolio expansion.