UCASU announces the appointment of leadership and $1 million in initial capital for SHOC investment based on Airbnb
prnewswire | December 29, 2020
UC Asset, an Atlanta-based worldwide land investment firm, reported the organization has invested introductory capital of roughly $1 million into SHOC Holdings LLC, and named Greg Bankston, who right now serves as an overseeing individual from UCASU's overall accomplice, as CEO of SHOC. The organization believes Bankston's twenty-year land foundation and information on the city's history make him the ideal applicant.
SHOC, a completely possessed investee of UCASU, will obtain and create properties under UCASU's Airbnb-based imaginative property investment strategy. The new strategy will focus on home office innovation for voyaging professionals. SHOC aims to profit by another industrial pattern, i.e., the switch of business travelers from customary business lodging to shared convenience by means of platforms such as Airnbnb and Vrbo. UCASU's administration projects a $60 billion market in the coming years for this new pattern.
"It is a revolution happening across the board," shares Larry Wu, founding partner of UC Asset, "Just like conventional taxi businesses are being taken over by shared-ride companies like Uber and Lyft, we believe conventional hotels will be taken over by technology driven shared-accommodation spaces."
Shared convenience properties have pulled in investors in the past year, yet Wu claims there are no institutional investors who specialize in shared convenience properties furnished with home-office facilities, which will be almost exclusively promoted to business travelers.
"Shared accommodations have replaced a fair share of vocational resorts. But conventional hotels who serve business travelers have held their grounds," explains Wu. "Before COVID-19, conventional hotels in central business districts or around airport hubs were still doing extremely well. Occupancy rate of these hotels stayed about 80% even 90% in major metros like Atlanta."
Yet, COVID-19 has assisted a transition in work habits and numerous individuals will forever spend additional time in home office spaces. This pattern, as per the UCASU, will incite travelers to choose home-office style shared-accommodations over customary hotels.
As of late, UCASU held a top-level research firm to lead market survey, and the results seemingly affirmed UCASU's conviction that business travelers will use more shared-accommodations, if those share-accommodations are furnished with home office facilities. UCASU claims that its supervisory crew is "past energized" at this first round of research information.
"While we will retain our other investments, we are very committed to this new investment strategy because of its brilliant prospect," says Wu. "The initial $1 million will allow us to test this new strategy on a practical scale. Meanwhile we will explore all options to expand on this new strategy. Our goal is to form a $10 million portfolio of shared home office properties over the next 12 months."
UCASU, through its other investees, has made successful investments into home renovations. It believes the new strategy, brand-named SHOC (Share-Home Office Community) will add cash pay to benefit from house redesign, and possibly improve the complete ROI to a level astoundingly higher than market normal.
About UC Asset:
UC Asset LP is a limited partnership formed for the purpose of investing in real estate for development and redevelopment, concentrating in metropolitan areas of Atlanta, GA and Dallas, TX. For more information about UC Asset.