The Michelson Organization

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Our Story

DELIVERING VALUE TO OUR PARTNERS AND RESIDENTS SINCE 1927

As a leading, privately-held real estate investment firm specializing in the management, leasing, acquisition, construction, and disposition of high quality multifamily and industrial properties around the nation, we acquire for ourselves and in partnership with pension funds, insurance companies, corporations, endowments, and individuals’ core, core-plus, and value-added properties in major metropolitan areas, as well as growth sub-markets.

Throughout our entire history, our investment approach has consistently relied on delivering attractive, risk-adjusted returns with a strong focus on capital preservation and a value creation.

Our track record demonstrates a solid history of strong returns produced by our investment strategies which focus on asset quality, sub-market dynamics, buying opportunities, management expertise, strategic property improvements, and intelligent capital structures.

Investment Philosophy

Using A value-creating business plan is the best way to invest in real estate

Value-Creating Investment Strategy

Michelson built a century of success by acquiring and developing quality multifamily and industrial properties. We believe that stable properties with strong tenants in growing sub-markets, also benefiting from Michelson’s property management skills, can outperform competitors in both strong and soft markets. Our approach provides the perfect balance of risk versus return for our investments. We acquire properties offering strong cash flow upon closing with notable upside potential from value appreciation. Our track record demonstrates the results of our value-creating strategies with strong returns from our investments. We also employ sophisticated capital structures with modest low-cost, third-party debt that can minimize current taxes for domestic and foreign investors.

Capital Preservation represents each investment’s paramount focus

We only acquire properties that should appreciate in value. We focus on real estate fundamentals of the property and the sub-market. Our track record shows steady long-term growth in part because of our use of conservative underwriting and focused value-adding improvements. Our diversification, modest leverage, and flexibility also contribute to the track record. These factors collectively form an investment philosophy that protects against predictable downturns and market volatility.

Real Estate is a Local Business

Over the years, Michelson has developed deep local expertise in our targeted geographic regions. This local focus provides extensive knowledge of property market values, the most cost-effective ways to upgrade and add value to properties, and the best ways to manage properties. Partnering with an extensive network of vendors and service providers allows us to take advantage of economies of scale and minimize inefficiencies.

Fully Vertically Integrated Firm

Michelson’s integrated property management activities provide strategic and logistical advantage for investments.  Integrating property management knowledge and input into underwriting occurs organically. People who will be operating investments complete due diligence on those investments increasing the quality of budgets and speed of their availability. Qualified and invested people complete due diligence and live with the results. Acquiring and structuring advantageous debt for investment occurs within the same focused team. This integration coupled with unique marketing, leasing, and management practices across all of our properties also facilitates transparent accounting and financial reporting with our stakeholders.

Michelson’s property management arm is owned and operated within the same corporate family. All in-house divisions’ interests are aligned with the goal of maximizing returns for Michelson’s investors. Thanks to this vertical integration, Michelson is also uniquely positioned to fast-track the identification and underwriting of assets, due diligence activities, and debt structuring. Once an acquisition is made, our in-house property management team implements our successful proprietary policies and procedures for swift takeover and management of the investment. Michelson utilizes its unique marketing and leasing best practices across all our properties and provides transparent communications to our investors through timely accounting and financial reporting.

Corporate Responsibility

Michelson operates within a framework of policies, procedures, principles, and practices to ensure that all its affiliates embrace corporate responsibility, accountability, fairness, and transparency in their stakeholder relationships.
Environmental, Social, and Governance issues are an important part of Michelson’s investment analysis and due diligence processes, including a robust and rigorous underwriting regimen, risk management evaluation, and approval processes. We assess our investments for climate-related risks and anti-money laundering concerns.
We require background checks on our partners and residents, and any potential conflicts of interest are identified and vetted. Additionally, we undertake a regulatory review to ensure every property will comply with all local and national laws, including sustainability standards.
We provide accurate and relevant information to our stakeholders about our products and services and deal promptly, respectfully, and appropriately with client requests and concerns. We avoid, mitigate, and/or disclose potential, actual, and apparent conflicts of interest.

ENVIRONMENTAL

Environment in and around our assets

As stewards of the environment in and around our assets, we understand that we have an obligation to educate and inform our stakeholders.

To that end, we engage our tenants, business partners, and service providers in initiatives to reduce resource use and waste, as well as improve environmental quality. We have developed standard operations, which help our acquisition, regional, district and property managers to identify opportunities to cut costs, address human health and improve efficiencies by “greening” operations. We share these annually to our asset management teams and offer them to all our property managers for use and implementation as appropriate. We advocate the use of materials, products, construction methods and operating practices that

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SOCIAL

Needs of the stakeholders in our communities and investments

Within our real estate equity holdings, we strive to meet the needs of the stakeholders in our communities and investments and to incorporate their feedback into how we conduct our business. We utilize periodic and annual surveys of our tenants seeking independent feedback regarding tenant satisfaction and perspective on our property manager’s performance.
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GOVERNANCE

Michelson operates within a framework of policies, procedures, principles and practices to ensure that all its affiliates embrace corporate responsibility, accountability, fairness, and transparency in their stakeholder relationships.

ESG issues are an important part of Michelson’s investment analysis and due diligence processes, including a robust and rigorous underwriting regimen, risk management evaluation and approval processes. We assess our investments for climate-related risks and anti-money laundering concerns. We require background checks on our partners and residents, and any potential conflicts of interest are identified and vetted. Additionally, we undertake a regulatory review to ensure every property will comply with all local and national laws, including sustainability standards.

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Portfolio Map

View our Select Projects

+40,000
Units Managed

+$1.5 Billion
Asset Under Management

1927
Establishment