San Diego-based MG Properties Group specializes in acquiring, developing, rehabilitating and managing apartment communities in the western United States. MG Properties manages more than 18,000 apartment homes at 61 properties in California, Arizona, Nevada, Washington and Oregon. Its apartment portfolio market value exceeds $3.7 billion.
MG Properties grew rapidly in a few years, and it had trouble keeping up with investment calculations and investor reporting demands. For example, a single spreadsheet report contained as many as 450 tabs. “Quarterly investment reporting was stressful. Our spreadsheet program regularly crashed and journal entries often had errors. This chaotic process made clear that we needed a professional investment management platform,” recalled Joe Anfuso, chief financial officer for MG Properties.
Yardi Investment Suite
In July 2015, MG Properties adopted Yardi Investment Accounting, the foundation of the Yardi Investment Suite, which automated the company’s asset, investment accounting and investment lifecycle with a single connected solution. They added Yardi Investment Manager in 2016 and Yardi InvestorPlus in 2017.
“The only way we could compete with the big institutional investors was by investing in technology that lets us operate more efficiently. That’s why we traded our spreadsheets for the Yardi Investment Suite,” Anfuso said. The Yardi Investment Suite was instrumental in the company’s ability to expand its investor base by more than 350% and add more than a dozen properties.
The Yardi Investment Suite impressed MG Properties’ investors. “Previously when investors called with a question about their returns or distributions, somebody had to run around and check spreadsheets, or call me or somebody else. Now anybody can use Yardi InvestorPlus to pull up all the investor’s investment activity and answer right away,” Anfuso said. Investors also have timely, convenient online and mobile access to information on distributions, returns and more through Yardi Investment Manager.
MG Properties also uses Yardi Investment Accounting to project unrealized gains and determine the best time to acquire and sell properties. The suite also delivers insights that help improve net operating income for individual properties, which in turn creates better value for the properties and their investors.
“We’re a regional company, but one of our goals is to grow, not just for the sake of growth but to grow in a smart way. Our reputation has expanded over the last few years to where a lot of investment managers are bringing their clients to us,” Anfuso said. “The Yardi Investment Suite transformed our ability to deliver outstanding service to our investors and grow our business.”