Opportunity

Solution

MSN Real Estate (MSN) is an Oregon-based real estate company that will offer benchmarked rental units for the Eugene, Oregon community. MSN’s units are designed to provide tenants with safety, modern features, and a positive experience.

Market

MSN will target three distinct customer segments. The University of Oregon students will be the largest customer segment. This market is expanding at 7% per annum with over 18,000 customers. This market is attractive as most local rental properties that cater to students are run down and of poor quality. The second market segment are local professionals, who are growing at 4% and currently have 12,000 members. The University’s faculty and staff is the final segment. This section boasts a 5% growth rate, and has potential customers of 6 000.

Competition

At 6.7%, the apartment market has seen a steady increase in quality units at an affordable price. Oregon’s rental rates have remained constant at $697 (or $.79 per foot) during the fourth quarter. Although there is a lot of new apartment construction, the Oregon market is witnessing rapid employment growth. MSN is not only pioneering this niche in affordable quality living; it is also taking advantage of Oregon’s strong economic growth.

Why Us?

MSN Real Estate offers comfortable, high-quality rental units in Eugene as well as other parts of Oregon. MSN Real Estate’s apartment buildings offer modern living options that are reflective of both the rapid technological advances and the growing demand for high-quality housing. Our company is committed to providing a comfortable living environment for our tenants that allows them to enjoy the advantages of secure, inviting, and appealing units. MSN does not focus on making profits. Our primary objective is to ensure customer satisfaction. Our primary goals are tenant safety and happiness. MSN maintains competitive market prices, while working toward expanding the number of units owned, and increasing total profits earned. Our company will be a cohesive, harmonious group that is focused on fulfilling our mission. MSN&#8217’s success is largely dependent on customer satisfaction. Equally important is employee satisfaction. MSN Real Estate’s founders believe that employee happiness will make their company successful and ensure their longevity.

Expectations

Forecast

In year 2, the company will be financially sound enough to purchase its second facility. It is currently in talks with the owners a 20-unit apartment block in downtown Portland, OR. It is difficult for us to predict long-term changes in building value, but we estimate that we will be capable of purchasing this building at $570,000.

Financial Highlights for the Year

Financing Required

We will get $1.250,000 from various sources in order to begin. We will have an angel investment firm of $1,000,000. A loan of $200,000. The loan amount will be $200,000.