376: Class B Is The Most Conservative Investment In Multifamily

In the multifamily apartment category, Class B provides the greatest hedge against risk. Renovated Class B apartments often have many of the same amenities as Class A, but cost anywhere from $300-$500 per month less to rent, depending on the market. In a tough economy, a lot of Class A renters move down to Class B properties in order to save money, but Class B renters generally don’t move down to Class C. Lee Harris, President and CEO of Cohen Esrey, has acquired and improved 10,000 Class B apartment units since 2011.