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Katie Fidler, director of real estate and investor relations with Drapac Capital Partners, joins host Carol Morgan on this week’s Atlanta Real Estate Forum Radio episode. In this podcast episode, Fidler discusses Drapac Capital Partners’ unique approach to property investment and acquisition.
What sets Drapac Capital Partners apart from other property investment groups?
Drapac Capital Partners has built its strategy off quick problem-solving. The investment group seeks challenging projects that allow it to add or extract the most value.
With a data-driven approach and focus on housing market statistics, it keeps tabs on everything from market population and cost of living to economic investment and job growth. Drapac Capital Partners looks at these demographics to understand the impacts of inflation rates and fluctuating market conditions. In addition, by comparing current housing market statistics with “steady state” rates, it can discover markets coming up with runway for growth, specifically in the Southeast.
“We pride ourselves on being very disciplined,” said Fidler. “So for me, and for us, that is finding the balance between not being reactive but also being nimble enough to pivot when it proves best for a project.”
Findler explains that Drapac specializes in creating “red-ribbon” packages with fully entitled and permitted projects ready for development. She calls them “shovel-ready” because they can begin at any moment.
How is Drapac Capital Partners navigating the current economic environment?
While the large “unknowns” make forecasting and planning difficult, Fidler assures that Drapac is approaching the environment as “cautious business as usual.”
Fidler said, “We’re not seeing the amount of panic that we did four to five years ago, but there’s obviously hesitancy that we’re seeing in the market.”
Rapid shifts in the market have prompted many buyers to make quick purchases while spooking others. Drapac Capital Partners takes a more careful, thoughtful approach, securing deals in the process. All along the Southeast, it has scouted projects in Atlanta, coastal Georgia and the Carolinas. Fidler highlights that the Southeast is a source of immense growth, outpacing national growth by 40% over the last 50 years.
There are many challenges that the housing market continues to face, from labor shortages and increased material costs to its finite amount of land that’s suitable for residential development. However, Fidler points out that the opportunities outweigh the challenges. The state of the market leads some to sell, which allows the investment group to snatch those up and progress on planning and permitting until the market stabilizes.
How is Drapac Capital Partners incorporating placemaking, and where?
“Our goal is always to find that balance between what our buyers, who are mostly developers, and home builders want, which is usually high density with very low development cost,” said Fidler. “Then next step, what their home buyers are going to want, which are nice community amenities and spacious yards.”
Drapac Capital Partners is largely in control of the planning phase, designing community elements and amenities that will ultimately facilitate increased absorption and pricing. Preserving natural landscapes is important for creating community greens and open spaces, which is why Drapac Capital Partners works with the existing topography. It also adds an appropriate mix of active and passive amenities based on a community’s size. While it’s not involved in the development stage, the investment group works to sell the project vision.
Fidler describes a project in North Carolina as one of the investment groups’ biggest wins. In 2012, it acquired a 1,000+ lot, master-planned community in Brunswick County, NC. The community was a victim of the Great Recession but transitioned into a major profit once the Drapac got its hands on it. As the market recovered, it worked through the community’s zoning challenges, then sold the top 800+ acres to Del Webb and the other land to Toll Brothers.
Drapac Capital Partners is now buying again. It has established its reputation in holding and selling, but the investment group is actively purchasing properties this year.
Tune in to the full episode to learn more about Drapac Capital Partners and visit https://www.DrapacCapital.com/.
About Drapac Capital Partners
As a highly specialized international property investment group, Drapac Capital Partners offers clients over 30 years of industry experience. The investment group focuses on undervalued and overlooked properties to transform and grow, while maintaining a crucial balance between risk management and overall performance.
Podcast Thanks
Thank you to Denim Marketing for sponsoring Atlanta Real Estate Forum Radio. Known as a trendsetter, Denim Marketing has been blogging since 2006 and podcasting since 2011. Contact them when you need quality, original content for social media, public relations, blogging, email marketing and promotions. A comfortable fit for companies of all shapes and sizes, Denim Marketing understands marketing strategies are not one-size-fits-all. The agency works with your company to create a perfectly tailored marketing strategy that will suit your needs and niche. Try Denim Marketing on for size by calling 770-383-3360 or by visiting https://DenimMarketing.com/.
About Atlanta Real Estate Forum Radio
Atlanta Real Estate Forum Radio, presented by Denim Marketing, highlights the movers and shakers in the Atlanta real estate industry – the home builders, developers, Realtors and suppliers working to provide the American dream for Atlantans. For more information on how you can be featured as a guest, contact Denim Marketing at 770-383-3360 or fill out the Atlanta Real Estate Forum contact form. Subscribe to the Atlanta Real Estate Forum Radio podcast on iTunes, and if you like this week’s show, be sure to rate it.
