Robbins Electra Reveals Multifamily Investment Strategy

MIAMI—Robbins Electra has been buying “selectively but decisively.” The Tampa-based company, led by multifamily veteran Joe Lubeck—founder and former chairman of Landmark—acquired seven garden-style, value-add properties in Florida and Georgia since January, putting him on track to meet his goal: investing over $1 billion primarily in class B multifamily properties across the southeastern U.S. GlobeSt.com caught up with Lubeck to learn more about the company's strategy.

GlobeSt.com: How do you select the multifamily properties you invest in?

Lubeck: Jobs, jobs, jobs, is really our mantra. We go where the jobs are because that's where the population growth and renters are. But once we make an investment, we follow a very consistent, comprehensive renovation and repositioning program to boost lease up and make it a more attractive, competitive property.

We also place a great management team on site to deliver exceptional customer service—the key to success, from my perspective, is having a brilliant operating team, which is why Electra America's merger with Robbins Property Associates last year made a lot of sense. The strength of our team makes the platform very scalable.

GlobeSt.com: There's a lot of competition in the multifamily investment market today. How do you manage that?

Lubeck: We were pioneers in multifamily repositioning, but there is definitely a different dynamic this time around, with a lot more people in the industry than ever before, as you point out. That's pushed prices higher, but our business model is not about cap rate compression, it's about NOI growth.

As to pipeline, we have excellent relationships with key players in the industry, and a superior reputation, so that provides us access to a lot of attractive off-market deals. We are very well capitalized, and we are selective, but decisive. We are able to buy assets and portfolios with speed and certainty of closure, and that reputation gives us advantageous deal flow.

MIAMI—Robbins Electra has been buying “selectively but decisively.” The Tampa-based company, led by multifamily veteran Joe Lubeck—founder and former chairman of Landmark—acquired seven garden-style, value-add properties in Florida and Georgia since January, putting him on track to meet his goal: investing over $1 billion primarily in class B multifamily properties across the southeastern U.S. GlobeSt.com caught up with Lubeck to learn more about the company's strategy.

GlobeSt.com: How do you select the multifamily properties you invest in?

Lubeck: Jobs, jobs, jobs, is really our mantra. We go where the jobs are because that's where the population growth and renters are. But once we make an investment, we follow a very consistent, comprehensive renovation and repositioning program to boost lease up and make it a more attractive, competitive property.

We also place a great management team on site to deliver exceptional customer service—the key to success, from my perspective, is having a brilliant operating team, which is why Electra America's merger with Robbins Property Associates last year made a lot of sense. The strength of our team makes the platform very scalable.

GlobeSt.com: There's a lot of competition in the multifamily investment market today. How do you manage that?

Lubeck: We were pioneers in multifamily repositioning, but there is definitely a different dynamic this time around, with a lot more people in the industry than ever before, as you point out. That's pushed prices higher, but our business model is not about cap rate compression, it's about NOI growth.

As to pipeline, we have excellent relationships with key players in the industry, and a superior reputation, so that provides us access to a lot of attractive off-market deals. We are very well capitalized, and we are selective, but decisive. We are able to buy assets and portfolios with speed and certainty of closure, and that reputation gives us advantageous deal flow.