Value-Add Acquisition

Cherette Group approaches acquisitions with proven operational experience, an owner’s perspective, and a commitment to structuring transactions that result in risk-adjusted returns that are superior to the market.  Cherette Group seeks out opportunities to use its expertise to enhance Net Operating Income, the physical condition of the property, financing, and tenant satisfaction thereby yielding a greater return on its invested capital. The team is well-equipped to navigate challenges with title, financing, multiple ownership interests, legal matters, and other complex scenarios.

In one such scenario, Cherette Group acquired a 278-unit, Class A multifamily property owned in two phases and financed by two lenders. The property was over-leveraged, had significant deferred maintenance, struggled with tenant delinquencies, and had a vacancy rate three times the market average. Cherette Group negotiated with multiple stakeholders to complete the closing, restructured the financing, and made notable improvements to physical property and operations. Within four months, occupancy was near 99% and the property had a waiting list while simultaneously increasing rents, reducing bad debt, and maintaining renewals. Cherette Group was soon approached to consider a sale of the property and then completed the sale within six months of acquisition.  The property now enjoys a much-improved market stature, stable occupancy, and an increasing net operating income.

Expertise - Development

  • THE TRIBUNE LOFTS

    Cherette Group acquired 101 N. Third Street in Grand Haven, Michigan, known as the Tribune Building, formerly the home of the Grand Haven Tribune. The site is well located on the corner of Third Street and Columbus Avenue, just one block from Grand Haven’s dynamic main street, Washington Avenue, and three blocks from the Grand...

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  • HARMONY LAKE APARTMENT HOMES

    Cherette Group recently opened Harmony Lake Apartment Homes, a newly constructed Class A apartment community that offers 217 luxury apartment homes on 30 acres in Fruitport Township, between Grand Haven, Spring Lake, and Norton Shores.

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  • WESTOWN AT WILSON

    Westown at Wilson Apartment Homes is a Class A Apartment Community in Walker, Michigan that was completed in 2020. The property offers 199 one and two-bedroom luxury apartment homes with attached garages. JAG Development partnered with Cherette Group to oversee the development. This began with the consolidation of numerous parcels, title and easement matters, environmental...

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  • PIPER LAKES: CLASS-A MULTIFAMILY COMMUNITY

    Market research for the Tri-Cities indicated a clear need for a fully amenitized, Class A multifamily housing product to meet the needs of those seeking an upscale, carefree Apartment Home option in the Lakeshore community.

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  • HARVEY STREET DEVELOPMENT LAND

    Cherette Group acquired approximately 115 acres of land operating as the Fruitport Golf Course and Banquet Center for its development potential.
    The subject site offers 2,500 feet of frontage on Harvey Street, the area’s prime retail and medical corridor near a regional mall and major highways.

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