Hello Friends and Investors,
As we close out 2025 and enter the Christmas season, we find ourselves deeply grateful—both for the trust you continue to place in us and for the opportunities this year has brought to demonstrate what disciplined, long-term stewardship really means.
This has been a year defined by resilience, patience, and strategic progress, culminating in another meaningful win as we closed the Embassy refinance last week. With three important capital events successfully navigated this year, our highest priority initiative—protecting investor capital first—has remained a clear and consistent success.
And looking ahead, we’re optimistic. Not because the market is suddenly “easy” (it’s not), but because we’re positioned for what comes next.
Making Sense of a Bifurcated, Paradoxical Market
If you’ve been watching the market closely, you’ve likely noticed what we’ve noticed: this is one of the more complex real estate moments in recent memory.
A few truths are simultaneously at play:
Major Update: Embassy Refinance Successfully Completed
Last week, we closed the refinance on Embassy Apartments—a major milestone that reflects months of persistent work, strategic leadership, and commitment to investor stewardship.
The Strategic Win
With the refinance, we're further protecting investor capital and extending the runway for continued value creation. This refinance positions Embassy for additional value-add execution, operational optimization, and a future sale in a more favorable market environment.
The Challenge We Overcame
Our initial refinance lender unexpectedly dropped out this summer (citing market conditions), forcing our team to take full control of the process, lean heavily on industry relationships, and execute a complex refinance under significant time constraints. The outcome was not just a “save,” but an accretive, long-term capital structure.
What CF Capital Continues to Deliver:
Resiliency. Execution under pressure. Capability in complex environments. This year proved what we’ve always said: When things get hard, we get better!
| Current Opportunity: Embassy Promissory NoteFor investors seeking high income-oriented yield, the Embassy Promissory Note remains open for investment. Key Terms - 12% annual yield, paid quarterly1% origination fee - 1% exit fee - 3-year term (expected full return of capital within ~2 years) - Minimum investment flexible Why Consider This Opportunity? - High-yield debt position backed by a strong, cash-flowing asset - Income-oriented structure in a low volatility debt position - Well-suited for accredited or sophisticated investors (self directed IRA funds eligible) and small family offices - Aligned with our broader long-term capital plan for the asset This is available on a first-come, first-served basis. |
| The Science of Scaling by Dr. Ben Hardy A powerful reminder that incrementalism equals stagnation. The path to meaningful growth—whether in business or investing—is paved with "impossible," transformational goals. As we head into our annual company offsite next week, this message resonates deeply: Impossible goals transform thinking and behavior that incremental goals never will. |
| “A culture of discipline is not a principle of business; it is a principle of greatness.” — Jim Collins |
2025 was a year of proving our principles: Protect capital. Execute with discipline. Build for the long term.
We’ve navigated complexity, overcome obstacles, acted with patience, and positioned ourselves for an exciting 2026 and beyond.
Thank you for your trust, your partnership, and your continued belief in our mission.
From our family to yours, Merry Christmas and Happy Holidays.
We look forward to building a powerful year ahead—together.
In Partnership,
Tyler & Bryan
| Hello Friends and Investors, At CF Capital, our mission as fiduciaries is clear: protect capital first, then scale it meaningfully. Real estate is a long-term asset class, and so is our mindset. This year, we have not acquired a new asset — not from inactivity, but from disciplined selectivity. The market remains out of alignment in many pockets, and we believe the patience we exercise today will translate into compelling opportunities tomorrow. Market Overview |
| Market Perspective Underwriting Discipline & Operational Excellence Matter More Than Ever The most successful investors in this part of the cycle are not the most aggressive — they are the most disciplined and operationally capable. In a market where debt costs, seller expectations, and capital flows are still normalizing, the path to outsized returns is forged through:Conservative and reality-tested underwritingOperational mastery, not financial engineeringPatient capital allocation, not speculation |
| Operational Performance — A Proof Point Our disciplined operating approach is delivering real results. Over the past two years since our management transition in 2023:T-3 NOI Annualized Growth: +51% T-12 NOI Growth: +31%Execution matters — and it compounds. These results underscore why we obsess over operations, resident experience, and expense discipline. In an environment where many operators are reacting, we are proactively strengthening asset performance and cash flow positions. Active Opportunity |
| Short-Term Opportunity - 12% Fixed ReturnThere are a limited spots available in a short-term investment opportunity: a 12% annual yield Promissory Note secured by Embassy Apartments, a 247-unit multifamily community in Evansville, IN. This short-term debt investment is structured to provide both attractive income and downside protection: Promissory Note Key Features:Coupon & Term: 12% fixed annual rate, paid quarterly; principal repaid upon refinance into long-term debt or sale (expected within ~2 years, with flexibility up to 3 years). Note includes 1% origination fee and a 1% exit fee. Invest With Confidence: The Promissory Note is secured by Embassy Apartments, a 247-unit multifamily community in Evansville, IN. Limited Spots Available! |
| Leadership & Vision |
| We are stewards of capital and stewards of your trust. Our long-term orientation isn’t just philosophy — it's behavior. We will not compromise underwriting discipline. We will not force a deal to satisfy a calendar or narrative. We invest when the risk-adjusted reward is clear and compelling — and that moment is drawing closer. When the window opens, we will be ready. |
| Educational Corner: What ‘Disciplined Underwriting’ Means TodayIn this market, investor protection starts with conservative and realistic deal modeling. We continue to hold firm to:Basis below replacement cost — structural downside protectionPositive leverage — deals must cash-flow and accrete value on day oneModerate, data-supported assumptions — no aggressive rent growth stories, no heroic exit cap assumptionsA good deal today must work in today’s environment — not require tomorrow’s optimism. |
| Team News |
| We are thrilled to share two positive updates: 🏢 Acquisitions Team Expansion We are in the final stages of adding a key acquisitions team member — a deeply exciting step as we prepare to lean into market opportunities. Announcement coming soon. 👶 Celebrating Family Congratulations to Angela Blankenbaker, Regional Property Manager, on welcoming twin grandsons this month! Angela’s leadership and dedication continue to elevate our communities and support our residents — please join us in celebrating her growing family. |
| Featured Articles |
| Multifamily investment is rising in 2025 as Nashville and Midwest cities lead with strong fundamentals, affordability, and job growth. Multifamily real estate is regaining strength in 2025. After two years of declining values, prices are trending upward. This shift is driven by rising rents and a more favorable interest rate outlook. As a result, investors are returning to the market — especially in affordable and stable metros.... [Read → HERE] |
| Quote of the Month |
| "Gratitude is not only the greatest of virtues, but the parent of all others." - Cicero |
| The market is evolving, clarity is increasing, and disciplined operators will be rewarded. We’re grateful for your partnership and trust — and we look forward to deploying capital prudently as this next phase unfolds. In Partnership, Tyler & Bryan |
Hello Friends, Partners & Colleagues,
Hope you and your families are having a great fall!
Fall always brings a reset—kids back in school, routines getting sharper, and in the real estate business, it’s a natural time to evaluate where we are and where we’re heading (though if we’re honest, we’re always doing that!). The past couple of years have been anything but smooth for anyone in our business, but we’ve continued to execute, adapt, and position ourselves for what’s ahead, keeping the long view in mind.
We’re excited to share a major win this month: in a challenging capital markets environment, we closed the refinance of one of our assets, Paddocksat Ridge Park, with a 5-year Fannie Mae fixed loan at 4.92%. It’s a deal that gives us long-term stability at the asset level, strengthens investment stability for our partners, and reinforces the resilience of our portfolio.
CF Capital is built for times like these—disciplined, steady, and ready to strike when the right opportunities align. With that, let’s dive into some market insights and updates.
Market Pulse: Midwest + Macro Realities
Midwest Holding Firm as Deliveries SlowNorthmarq’s Q2 2025 report shows rents in the Midwest still ticking up while deliveries are down ~10% year over year in H1. That gives existing assets breathing room. Vacancies shifted little, and cap rates averaged around 5.6% in the region.
National Growth is Soft—Demand SteadyYardi’s June numbers show U.S. asking rents inching higher, but only modestly. Month-to-month rent growth in May was just $6 on average. That tells us demand isn’t collapsing—but it’s cautious.
Midwest Poised to OutpaceAccording to July GlobeSt projections, Midwest and Southeast metros are expected to lead rent growth over the near term. In Columbus, forecasts call for 3.6% effective rent growth and occupancy holding near 93.5% despite new deliveries.
Takeaway:We’re not predicting fireworks. But in a market settling into baseline realism, fundamentals matter as much as they ever have. And in that setting, markets like ours—less speculative, more anchored—are the ones in position to benefit as momentum shifts.
Refinance Win at Paddocks
We’re proud to announce we closed the refinance for Paddocks at Ridge Park, locking in a 5-year Fannie Mae fixed loan at 4.92%.
This is more than just a line in a report—it’s stability (and materially reduced debt service burden) delivered in a market where stability is rare:
Huge thanks to our operations team on the ground and at the leadership level for optimizing the asset performance after the repositioning of the asset via implementation of a multi-year business plan—and to Bellwether Capital (BWE) for structuring and executing with precision. Their excellence made this possible!
| Perspectives: To Buy or to Build? |
| Buying early in the cycle and building later may feel intuitively correct, but our analysis of historical market data finds that the opportunity is more nuanced. It’s a commonly held belief that acquiring assets early in the real estate cycle (when asset prices are lower) and developing them later in the cycle (when prices tend to rise) is an effective investment strategy. However, digging into the historical data paints a more complicated picture. In fact, our research finds that the... [Read → HERE] |
| How the Federal Shutdown Impacts the Multifamily Industry Certain public housing funding has been obligated through November, but the Federal Housing Administration will not accept new multifamily mortgage applications. How will the federal government shutdown impact the multifamily industry? That depends on how long it drags on, and there are few public indications of meaningful negotiations so far, AP News reported. [Read → HERE] |
| CF Capital is building for what’s next—and that means adding the right people: Operations-Minded PartnerWe’re looking for a partner who can own the implementation of portfolio business plans, hound operations, and ultimately help leadership focus on growth. The long game: 15,000 units in 5–7 years. If you know someone who’s mission-driven and execution-obsessed, point them our way. You’ll find full job descriptions and application details via the link, along with a candidate guide attached. Feel free to share this broadly if you feel compelled. LINKEDIN POSTING |
| "We don't have to be smarter than the rest. We have to be more disciplined than the rest." - Warren Buffett |
Final Thoughts: Grounded, Ready, and Steadily Hungry
Yes, we’ve weathered storms (most of us have!). This isn’t a moment for us to rest on our laurels—it’s a moment for further execution. The refinance is a win we will build on to expand future optionality and growth. It’s all about stacking wins, addressing the challenges, and keeping our gaze above the trees so we can capture what’s next as we rely on fundamentals and discipline. As year-end nears, we expect to find deals that reward patience, and we will enthusiastically share those opportunities.
Thank you—sincerely—for your trust and your partnership. We’re glad you’re with us, and we’re excited for the next chapter together.
In partnership,
Tyler & Bryan
Hello Friends and Investors,
As summer’s momentum fades and the fall season settles in, it’s a powerful moment to reflect, recalibrate, and reaffirm our strategic direction. Despite the challenges these past years, CF Capital remains grounded, agile, and ready. We continue to anchor our approach in discipline — and if history is any guide, timing is everything.
Market Snapshot: Midwest Multifamily Holding Strong
Bottom Line: Midwest Multifamily continues to show durable fundamentals — healthy rents, occupancy, and demand — anchored by limited new supply and favorable policy tailwinds.
What We’re Watching: Active Positioning, Strategic Patience
Here’s where CF Capital stands today:
Our message is both grounded and forward-leaning: we’re ready to act when opportunities align with our standards.
Building for the Next Phase
As we continue laying the foundation for long-term growth, we’re expanding our leadership and deal-making capacity through the growth of our team:
If you know someone who aligns with our core values of Leadership, Excellence, Integrity, Purpose and Grit for either of these roles, please reach out. Level 10, A players only, please!
| Three Indications Private Real Estate has Found its Bottom |
| Private real estate is showing signs of a robust recovery, with improving returns, loosening lending standards, and rising transaction volumes—all pointing to a more favorable environment for capital deployment in the quarters ahead. [Read → HERE] |
| Rising Powerhouses: The Cities Making America’sEconomic Future |
| Across the U.S., cities are seeing steady growth driven by business activity, rising incomes, infrastructure upgrades and expanding populations. And, it’s not just the usual hotspots leading the way. Instead, innovation, tech adoption, workforce shifts and global trade changes are reshaping where and how growth happens.[Read → HERE] |
| Why Smart Capital Is Staying PutWhy Smart Capital Is Staying Put: Long-Term Thinking in a Noisy MarketMarkets are noisy. Headlines shift by the day. But smart capital isn’t chasing chatter—it’s doubling down on fundamentals, location, and alignment with the future.[Read → HERE] |
End-of-Summer Reflection
As summer winds down and routines reset, we’re reminded that this business requires both discipline and patience. The last few years have tested every operator and investor, but they’ve also reinforced a simple truth: steady, thoughtful execution creates long-term success.
At CF Capital, we’re not in the business of chasing noise. We’re here to stay ready and continue to grow — so when the right opportunities come into view, we can move with confidence.
Thank you for being on this journey with us. We look forward to the months ahead and the opportunities they’ll bring to create lasting value together.
In Partnership,
Tyler & Bryan
Hello Friends and Investors,
As the sun begins to set on summer, we’ve been reflecting on a timeless truth in this business: the real wins come to those who are steady in uncertainty and prepared for what’s next.
At CF Capital, that remains our approach as we evaluate opportunities, monitor evolving market conditions, and prepare for strategic moves in the second half of the year.
Market Overview
Market Pulse: Stability Beneath the Surface
The multifamily market continues to exhibit signs of regional strength amid national moderation:
Midwest markets are outperforming national rent trends, posting 3–4% YoY rent growth ~1.1% nationally (Yardi Matrix, July 2025).
Occupancies remain healthy, ranging between 93–95% across our core metros.
New construction has slowed dramatically, setting the stage for stronger absorption and pricing power into 2026.
Meanwhile, there’s ongoing discussion around Fed rate cuts, but investors should note: lenders are increasing spreads in some cases, meaning any near-term cuts may not materially lower borrowing costs. It's a reminder to underwrite to what is, not what we hope will be.
Event Recap: State of the Market Multifamily Roundtable
In partnership with CCIM Kentucky and Frost Brown Todd, CF Capital hosted a dynamic conversation last month exploring the real forces shaping CRE. We're excited to share with you the entire recording of the event.
Top takeaways:
This was a powerful gathering of 75+ attendees consisting of lenders, operators, attorneys, and investors—and we’re committed to staying ahead of these shifting tides so you don’t have to. We’re very happy to share the full recording for folks who were unable to attend in person.
10 Most Landlord-Friendly States in 2025
CF Top10States-1
TurboTenant - Landlording in the wrong state can quickly turn into a nightmare. You could end up with hard-to-evict tenants, high property taxes, and rent control that makes it impossible to keep up with the market.
For these reasons, knowing the country’s most landlord-friendly states is a wise move. Owning property in a state where eviction laws, property taxes, and policies all work in your favor makes real estate investing a whole lot easier.
The Geography of Multifamily’s Growth: Urban vs. Suburban (and Everything in Between)
Screenshot 2025-08-05 at 2.55.08 PM
Chandan Economics - The past decade has been a whirlwind for the multifamily sector — from the urban renaissance of the early 2010s to the workforce housing push of the late 2010s, and the post-pandemic reshuffling of geographic demand. The only constant has been its continuous evolution.
In this briefing, we explore how multifamily growth has unfolded across the urban spectrum over the past 10 years — and why the space between suburban and urban markets deserves a closer look.
Blog
Why Track Record & Discipline Matter More Than Ever
With loan maturities looming, elevated financing costs, economic unpredictability, and surging renter demand—investors are pushing sponsors....
Strategic Outlook: Second Half of 2025
We continue to evaluate a robust pipeline of potential acquisitions. The market remains relatively stable, and while we’re active in making offers, we’re maintaining discipline—we are not stretching for deals that don’t pencil or drift toward negative leverage.
We’re optimistic that one or more high-quality investments will come to fruition in the back half of 2025—and as always, we’ll bring them to your attention as soon as the time is right.
You'll be among the first to hear about these opportunities as they take shape.
End-of-Summer Perspective
As kids head back to school and vacations wind down, we’re reminded that the multifamily game is measured in seasons, not weeks.
We continue to operate with a mindset of calm, long-term capital stewardship—focused not on reacting to noise, but on quietly building momentum.
We’re grateful to be on this journey with you, and we look forward to what lies ahead.
In Partnership,
Tyler & Bryan