POAH believes in proactive and innovative asset management.
POAH’s Asset Management team focuses on the long term stewardship of our properties. As POAH’s Owner’s Representative, the team looks for physical, financial and policy advocacy opportunities to positively impact the portfolio. Asset Management staff leverage technology and build analytics to quickly identify opportunities to maximize the value of the POAH portfolio. The Asset Management team works closely with POAH Communities, POAH’s subsidiary property management company.
The team’s work is focused in three areas:
Transactional Asset Management
This includes recapitalizing assets, refinancing debt, completing property workouts, negotiating limited partner exits, renewing subsidy contracts, applying for grants and more.
EXAMPLE: POAH refinanced Grace Apartments, a property our development team closed a few years ago, to realize $73,000 in annual debt savings capitalizing on a FHA rule change and a better interest rate.
Portfolio Performance & Analytics
The team is responsible for reporting property and portfolio performance and trends, developing analytics systems and tools, and completing targeted ad hoc property and portfolio-level analyses.
EXAMPLE: The Asset Management team builds tools, streamlines processes and develops analytics for all departments at POAH to facilitate data-based decision making, drive consistency and improve oversight. For example, a portfolio dashboard allows instant views of performance rankings of assets in the portfolio across 20 key performance indicators.
Debt Service Coverage: number of properties that can cover debt plus additional residual
Traditional Asset Management
Traditional asset management includes monitoring asset performance, conducting site visits, reviewing operating budgets and capital plans. It also includes managing relationships with lenders and syndicators and implementing strategies to mitigate back-end exposure of negative capital accounts.
EXAMPLE: Every year the Asset Management team proactively reviews and projects out capital account balances to see how many years we are away from a partner’s capital account going negative. We then come up with strategies to mitigate the back-end exposure for any assets that are projected to go negative in the coming five years. In 2017 the team executed two reallocations of losses that will put capital accounts close to zero in the year of limited partner exit.
Download the Asset Management one-pager.