What does smart multifamily investing actually look like in 2026?

In this episode of the LSCRE Podcast, Craig McGrouther and Rob Beardsley break down their 2026 multifamily outlook, including acquisitions, operations, capital strategy, and why walking away from bad deals is often the best deal you can do.

This episode covers how LSCRE is approaching growth after one of the most volatile real estate cycles in recent history.

Topics discussed:

LSCRE’s 2026 acquisition goals (~$200M, one deal per quarter)

Why doing a bad deal is extremely expensive for sponsors

Deal discipline vs “doing deals to do deals”

Texas market focus: Houston, Dallas, San Antonio

Why some markets (like Phoenix) are still early — and risky

Optimal debt & equity structures for the next cycle

Why LSCRE targets lower leverage (~65%)

Mid-teens IRR expectations and 5–8% cash flow targets

Workforce housing vs Class C risk

Operational priorities: occupancy, renewals, staffing

Why renewal rates matter more than new leases

Employee turnover targets and portfolio health

Bringing RUBS billing in-house to save ~$300K annually

K-1 delivery timelines and internal tax infrastructure

Capital markets commentary: private credit vs common equity

Why 2026 may reward offensive positioning, not defensive

We also discuss:

Why Houston may outperform other Sunbelt markets

Where forced sellers may emerge

Why stability matters more than forecasts

And why LSCRE is focused on long-term ownership, not flips

Learn more about LSCRE:
www.lscre.com