Investment Approach
Lafayette follows a disciplined approach of co-investing alongside experienced partners focused on balancing cash-on-cash preferred coupons with potential long term asset appreciation.
Overview
Lafayette focuses on income-resilient residential assets—conventional multifamily and student housing—in high-demand markets across the U.S. South, Southeast, and West Coast. Target programs combine quarterly preferred coupons (6–8% annually, illustrative) with potential capital appreciation at exit (illustrative), aiming for an 8–10% IRR return to investors over the holding period.
Why U.S. real estate market?
Leading economy – 26% of global GDP
Leading destination for investors – 24% of global investments
Opportunity to diversify into another currency with strong growth prospects.
Why U.S. Value Add & Core+ Residential?
Lowest risk real estate asset class relative to return.
Housing shortage and replacement costs exceed acquisition cost in dynamic markets.
Targeting primarily multifamily properties, Co-investing alongside partners with demonstrated track records with vertically integrated platforms allows value creation.
How We Select Our Investments
Top-down filters: demand drivers (jobs, enrollment), supply pipeline, affordability metrics, replacement cost.
Bottom-up diligence: operator track record, asset quality, business plan credibility.
Financial discipline: conservative fixed rate leverage, debt service coverage ratios, stress-tested assumptions.
Current Focus
Value-add and core-plus multifamily investments.
Predominantly growing “second tier” cities.
Assets with clear operational upside through revenue optimization, expense management, and capital improvements.
Lafayette vs Competition
| Criterion | Lafayette Invest (LAF) | Foreign SCPI (Iroko Atlas / Corum USA) |
French SCPI | Real Estate Crowdfunding (Anaxago, Baltis, Raizers…) |
Direct Real Estate |
|---|---|---|---|---|---|
| Property selection | Yes | No | No | Yes | Yes |
| Target average return – IRR | 8 – 10 % | 6.5 – 7.5 % | 4.5 – 6.0 % | 9 – 12 % | 3 – 5 % |
| Purchase / resale fees | Included (no direct investor fees) | 8–10 % entry + management | 8–12 % entry + management | 0–2 % (often operator) | ~7 % notary + 5–8 % management |
| Investment horizon | ≈ 8 years | 8 – 12 years | 8 – 12 years | 12 – 36 months | Long term (> 10 years) |
| Capital gain potential | Yes | Yes | Yes | Yes | Yes |
| Regular distributions | Quarterly | Quarterly | Quarterly / semiannual | No | Monthly / quarterly |
| Taxation of income | 30 % flat tax (PFU) | Foreign income (tax credit in France) | Rental income (up to 47 %) | 30 % flat tax (PFU) | Rental income (up to 47 %) |
| Subject to Wealth Tax (IFI) | No | Yes | Yes | No | Yes |
| Liquidity | Low (until maturity) | Medium-low (internal market) | Medium-low (internal market) | Very low (locked up) | Low (slow sale) |
| Estimated risk | Moderate | Moderate | Low to moderate | High (developer risk) | Medium to high |
| Investor management required | No | No | No | No | Yes |
Investment Simulator
This simulator gives an indicative illustration based on a compounded IRR over the selected duration.