Arel Capital
Arel Capital is a privately-held real estate investment and development firm that deploys limited-partner capital into value-add, multi-family, and mixed-use assets across 11 US cities, serving 150+ high net worth individuals, family offices, and institutional investors through per-transaction investment strategies.
- Company typePrivate
- Founded2013
- HeadquartersNew York, United States
- Headcount11–50
- GTM typeB2B
- OfferingServices
What Arel Capital does
Arel Capital LP is a privately-held real estate investment and development firm founded in early 2013 by Richard Leibovitch and Gabriel Bousbib. The firm focuses on value-add, multi-family, and mixed-use real estate assets in major US metropolitan areas, primarily acquiring mid-sized rental properties (typically $20-$150 million) below replacement cost and increasing net operating income through renovation and active asset management. In addition to its core value-add strategy, Arel Capital offers bridge financing and opportunistic strategies covering new developments, distressed sales, bankruptcy auctions, and hotels. Since inception, the firm has closed approximately 60 transactions representing about $2.0 billion in real estate across 11 US cities, with more than 20 transactions realized.
The firm operates a lean organizational structure (10 full-time staff) with headquarters in New York City and a secondary office in Bozeman, Montana. Its investment process relies on partner-led onsite due diligence, conservative pro-forma financial modeling, and a longstanding network of independent property managers, brokers, lenders, and local market contacts to source off-market and early-market deal flow. Technology capabilities center on financial modeling, underwriting systems, and portfolio management infrastructure rather than proprietary software products.
Arel Capital's revenue model is built on real estate investment management for qualified limited partners, generating management fees and carried interest with fee structures based on preferred return hurdles and no catch-up provisions. More than 150 limited partners spanning high net worth individuals, family offices, and institutional investors across the US, Canada, Europe, South America, and Asia participate on a per-transaction basis within specific investment strategies. The firm claims a 20-year independently verified IRR of 18%+ in value-add multi-family and targets net annualized returns of 12%-20%.
Arel Capital firmographics
Firmographics- Name
- Arel Capital
- Legal name
- Arel Capital LP
- Website
- https://arelcapital.com
- Company type
- Private
- Founded year
- 2013
- Operating status
- Operating
- Headcount range
- 11–50 employees
- Short description
- Arel Capital is a privately-held real estate investment and development firm that deploys limited-partner capital into value-add, multi-family, and mixed-use assets across 11 US cities, serving 150+ high net worth individuals, family offices, and institutional investors through per-transaction investment strategies.
- Ownership category
- akta.pro rank
Arel Capital industry classification
Industry- Product category
- Real Estate Investment Management
- NAICS
- Other Financial Vehicles (52599), Portfolio Management and Investment Advice (52394)
- SIC
- Investors, Nec (6799), Real Estate Agents & Managers (For Others) (6531)
- akta.pro primary industry
- Real Estate Portfolio & Fund Management (Institutional/REIT/PE) (BPAJAMAJ)
- akta.pro secondary industries
- Real Estate Funds — Opportunistic / Development (FSANAEAI), Real Estate M&A / Joint Venture Advisory (Platform Deals, Partnerships) (BPAJANAF)
Keywords
Where Arel Capital is headquartered
LocationHeadquarters
- HQ city
- New York
- HQ country
- United States
- HQ region
- North America
Offices2 records
Markets served
Arel Capital business model
Business model- GTM type
- B2B
- Offering type
- Services
- Cost components
- Personnel, Operations, Marketing or Sales, Technology or R&D, Infrastructure
Revenue model
- Real Estate Investment Management: Arel Capital manages real estate investments for limited partners including high net worth individuals, family offices, and institutional investors. Revenue is generated through management fees and performance-based carried interest on realized returns, with fee structures based on preferred return hurdles with no catch-up provisions. The firm enables investors to participate on a per-transaction basis within specific investment strategies.
Pricing tiers
| Model | Billing | Price |
|---|---|---|
| Other | Multi-year contract | Private investment opportunities for qualified investors |
Go-to-market motion1 record
Distribution channels1 record
Marketing channels4 records
Arel Capital product offering
Product offeringCore offering
Arel Capital manages institutional-quality real estate investments for qualified limited partners through three strategies: (1) Value-Add — acquiring multi-family properties below replacement cost and increasing occupancy and operating income through renovations in top US metropolitan areas; (2) Bridge Financing — short-term bridge loans for construction and first-mortgage purposes; and (3) Opportunistic Strategies — new developments, distressed sales, bankruptcy auctions, and hotels. Investment participation is offered on a per-transaction basis to high-net-worth individuals, family offices, and institutional investors, with significant equity co-investment by the firm's partners.
Product overview
Arel Capital is a real estate investment and development firm, not a technology product company. The firm does not offer software products, platforms, or technology solutions in the traditional sense. Instead, it provides real estate investment management services focused on multi-family rental properties. The firm's investment strategies include: (1) Value-Add Strategy - acquiring multi-family properties below replacement cost and increasing occupancy and operating income through renovations; (2) Bridge Financing - short-term bridge loans for construction and first mortgage purposes; and (3) Opportunistic Strategies - participation in new developments, distressed sales, bankruptcy auctions, and hotels. The firm also operates a client portal for investor access but this is an internal tool, not a product offering.
Differentiator
Problem solved
Functional benefit
Products and services
- Value-Add Investment Strategy
- Bridge Financing Strategy
- Opportunistic Investment Strategy
Quantifiable outcome
- 18%+ IRR compounding over 20 years in value-add multi-family rental properties
- +4 more outcomes
Companies that use Arel Capital
Customer profileSegments3 records
Ideal customer profiles3 records
Arel Capital technology and API
TechnologyTechnology focussed No
API detail
- Has API
- No
- API docs
- API detail
Core technology
AI maturity
App detail
Feature3 records
Arel Capital partnerships and signals
Strategic signalPartnerships
Two partnerships are on record, tiered core.
- Texas Essential Housing FacilitycoreArel Capital partnered with the Texas Essential Housing Facility to preserve affordable housing in Houston. This partnership aligns with Arel's value-add investment strategy while addressing community housing needs.
- Madison Realty CapitalcoreMadison Realty Capital brought Arel Capital in as a partner on the Rego Park acquisition, closing a $136 million deal. This joint venture equity partnership demonstrates Arel's ability to co-invest with established real estate capital providers on significant transactions.
Scale indicators9 records
Recent moves7 records
Expansion highlights4 records
Arel Capital competitors and assessment
Company assessmentDirect peers
- GTIS Partners: Real estate private equity firm deploying institutional capital into opportunistic and value-add strategies in US growth markets. Comparable in fund structure (private equity real estate), opportunistic focus, and institutional investor base.
- Starwood Capital Group: Large alternative investment manager with significant multifamily and value-add real estate strategies. Operates opportunistic and value-add real estate funds at meaningfully greater scale but shares Arel's per-deal value-add approach targeting growth markets.
- Harrison Street Real Estate Capital: Alternative real asset manager running real estate PE strategies including multifamily and value-add. Operates sector- and strategy-specific funds comparable to Arel's strategy-by-strategy LP offerings.
- The Bascom Group: Mid-market value-add multifamily specialist with a comparable $20M-$150M acquisition range, value-add renovation strategy, and institutional LP base. Closest peer to Arel in deal-size discipline, sector focus, and value-add operating model.
- Castle Lanterra Equity: Multifamily-focused investment firm with a similar value-add acquisition and asset management operating model. Directly referenced as the prior employer of Arel Partner Eric Lagdameo, demonstrating shared mid-market multifamily execution DNA.
- Crow Holdings Capital: Dallas-based diversified real estate investment manager with value-add multifamily, industrial, and office strategies across Sunbelt markets. Closely comparable in sector overlap, opportunistic approach, and institutional LP targeting.
Others
- AEW Capital Management: Diversified real estate investment manager running value-add, core-plus, and core strategies for institutional investors. Thematically adjacent peer with meaningful overlap in value-add multifamily investing and institutional LP mandates.
Broad incumbents
- Greystar Real Estate Partners: Largest US multifamily operator and investment manager combining property management and acquisitions. Comparable multifamily focus but with an operator-led model versus Arel's investor-led approach.
- Brookfield Real Estate: Global alternative asset manager with substantial real estate strategies including multifamily. Comparable in opportunistic value-add investing but at vastly larger scale and with a broader geographic mandate than Arel.
- Blackstone Real Estate: World's largest real estate PE platform with significant multifamily exposure via BREIT and BREP funds. Far broader strategies and geographies than Arel, but represents the scaled incumbent toward which Arel's growth aspirations point.
Market position
Strengths4 records
Weaknesses5 records
Competitive moat4 records
Key risks5 records
Key highlights6 records
Customer concentration
Arel Capital social profiles
Digital presenceArel Capital financial estimates
Financial estimateRevenue estimate
Valuation estimate
Arel Capital leadership team
Management profileNumber of profiles
Profiles9 records
Arel Capital funding detail
Funding detailFunding overview
Funding rounds
Investors
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
Arel Capital M&A and investment
M&A and investmentM&A
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about Arel Capital
What does Arel Capital do?
Arel Capital manages institutional-quality real estate investments for qualified limited partners through three strategies: (1) Value-Add — acquiring multi-family properties below replacement cost and increasing occupancy and operating income through renovations in top US metropolitan areas; (2) Bridge Financing — short-term bridge loans for construction and first-mortgage purposes; and (3) Opportunistic Strategies — new developments, distressed sales, bankruptcy auctions, and hotels. Investment participation is offered on a per-transaction basis to high-net-worth individuals, family offices, and institutional investors, with significant equity co-investment by the firm's partners.
Is Arel Capital a public or private company?
Arel Capital is a private company. It is classified as founder individual operated bootstrapped and is currently operating.
When was Arel Capital founded?
Arel Capital was founded in 2013. It employs 11 to 50 people.
Where is Arel Capital based?
Arel Capital is headquartered in New York, United States, in the North America region.
How does Arel Capital make money?
One revenue line is on record: real Estate Investment Management.
Who are Arel Capital's main competitors?
Direct peers on record are GTIS Partners, Starwood Capital Group, Harrison Street Real Estate Capital, The Bascom Group, Castle Lanterra Equity and Crow Holdings Capital. AEW Capital Management is listed as an others. Broad incumbents are Greystar Real Estate Partners, Brookfield Real Estate and Blackstone Real Estate.
Does Arel Capital have an API?
No public API is recorded for Arel Capital.
What industry is Arel Capital in?
Arel Capital's product category is Real Estate Investment Management. Its primary akta.pro industry code is BPAJAMAJ, Real Estate Portfolio & Fund Management (Institutional/REIT/PE), with a secondary code of FSANAEAI, Real Estate Funds — Opportunistic / Development. Its NAICS code is 52599 and its SIC code is 6799.