Cedar Communities Adds Multifamily Division, Taps Propis and Manglaviti to Lead the Charge
Published on August 27, 2020
By CoStar News Staff
New York–based private equity real estate investment firm Cedar Communities, a leading owner/operator of senior and assisted living communities across the Southeast, is launching a multifamily property acquisitions and management division, and has tapped two former Dunross Capital team members to lead its push into workforce housing.
David Propis joins the company as managing director and president of its multifamily group, and Thomas Manglaviti Jr. will serve as director of acquisitions at Cedar Communities Multifamily.
Propis and Manglaviti, along with analyst Halley O’Connor, are tasked with acquiring and managing value-add multifamily properties nationwide that meet the firm’s stringent investment criteria. In a typical value-add play, investors seek out properties they can update or improve upon with the aim of increasing value through achieving higher rents.
“The current market still contains many mismanaged, underfunded, and outdated properties,” said Manglaviti in a statement to CoStar News. “Cedar Multifamily will seek out these value-add opportunities to generate out-sized, risk-adjusted returns for investors.”
Added Propis, “Our belief in the resiliency of the American economy and the future of workforce housing has strengthened our interest in building a diverse portfolio of such properties throughout the nation.”
The team has a history of building an extensive portfolio of multifamily investments, successfully acquiring more than 2,000 units over the past two years.
Propis brings more than 20 years of experience in financial markets, business operations, and real estate investment. As a partner at his prior firm, he oversaw value-add renovations, and led a capital introduction program with high-net-worth individuals, family offices, and institutional investors.
Manglaviti has been specializing in multifamily acquisitions for nearly a decade. Over his career, he has underwritten close to 1,000 potential multifamily acquisitions in major markets across the United States.
Cedar Multifamily aims to become a leading multifamily owner and operator with a stated goal of “building better communities for the American worker”. The firm is looking to acquire two properties before year end and accelerate its acquisition program in early 2021.
“Entering the multifamily housing market is a natural progression for us,” said Richard J. Foster, chief executive of Cedar Communities. “The acquisitions our team generates will provide added diversification opportunities for the multitude of investors we work with.”