Frank Roessler received his Bachelor of Science degree in electrical engineering from Bucknell University. He then received his Master’s in Business Administration (MBA) from the Anderson School of Management at UCLA. Mr. Roessler has been in multifamily investments for over ten years. He began his career as an intern at M&A Real Estate Partners working in acquisitions that were typically valued at $20-30 million. He then transitioned to asset management at M&A. This showed him how to implement the business plan that they were crafting and learning the strategies that work for their goal. This was a great place for Mr. Roessler to work and learn because it was a small entrepreneurial firm.
Frank then launched Ashcroft Capital in 2015, which is his own investment firm. The firm has over 3000 apartment units which is valued at $250,000,000. Ashcroft Capital is continuing to expand and grow while remaining profitable. This Frank’s most rewarding career and he is very grateful to the wonderful investors that supported him along the way.
Please describe your career as it relates to the commercial real estate industry?
I work as a multifamily investor in the commercial real estate business and I opened Ashcroft Capital in 2015. We are owner and operators of large apartment communities.
What was the first apartment community you acquired? How did you make it happen?
The first community I acquired was Woodglen Village which was purchase in 2015 for about $15,000,000. In order to purchase such a large investment property, you must overcome a few barriers. I pushed ahead and figured things out as I did not have a road map or a guide. I am most proud of this first deal because I learned how to acquire such a property for Ashcroft Capital. All the investors are very pleased and this propert remains profitable.
What did you learn from your first acquisition?
I learned that with this great ability to purchase these investment properties and handle millions of dollars came a great amount of responsibility. I went from an employee looking at numbers to someone who is actually making the decisions regarding the investor’s money. I take this very seriously as the owner of Ashcroft Capital. An employee often does not share in the responsibility of a right or wrong decision.
What draws you to multifamily investment?
I have always loved investing through apartment communities. Although we are buying apartments, we are really buying cash flow. The cash flow is through the residents and the rent that we collect. I enjoy that there is a complete understanding of the entire investment and that it is tangible as opposed to something on Wall Street.
What advice would you give inexperienced person trying to buy a commercial asset?
I would not recommend purchasing such a large asset without experience and know how because you can get hurt and lose a lot of money. I would suggest you get a partner with experience. If you have a large sum that you want to invest in apartments, be sure to check how well the property has done in the past. With an experienced partner and doing your research on the property, you can learn and grow with your investment.
What have you found out to be the best way to market an investment to your network?
The more information, the better. Once you have a good investment and you have it under contract and you are raising money for it, disclose the good and bad sides of the investment and be truthful. Investors will respect that. Your investors do understand that there is risk to every investment, so they should be fully prepared to handle that risk. The more information that you provide them, the less surprises they will have.
What tools do you believe are essential for success in the commercial real estate industry?
It is as if Science met Art. Someone with a financially savvy mind and the ability to work through times when not all of the information is available and an educated guess is required. The delicate balance of how much risk you want to take on and how much projected return that you will be receiving is a choreography that I enjoy.
What has owning your own investment firm taught you about life?
We have met some amazing and motivational people since I began my career. Our investors are incredible, dynamic, intelligent good people. I excited about how much I have grown as a person trough my investors. I also enjoy making our money through improving these communities, which improves the quality of life for the residents. We are not buying apartment for millionaires to live in. Our average resident makes $55,000 per year. We putting in amenities such as playgrounds, dog parks, soccer fields, and we are improving the units and beautifying the community.
Do you have a mentor who taught you what you know?
I do not have a mentor. I did learn quite a bit through my career. I always knew I wanted to be an entrepreneur, whether it be opening a business or inventing a product. I did not have a get rich quick plan, but I did want to get involved in the business world right away to maximize my time and growth potential. I enjoyed this industry right away and when I learned it like the back of my hand, I opened my own!