Acquisition Criteria
Megas Holdings pursues income-producing real assets and operating businesses where vertical integration and operational expertise create structural competitive advantages. We evaluate opportunities across all U.S. markets — we are specific about asset class and fundamentals, not geography.
If your opportunity fits these parameters, we want to hear from you. If it does not fit precisely, submit it anyway — we respond to everything.
Parameters
Target Investment Profile
Deal Size
$2M – $50M
Primary target range for platform acquisitions, add-on investments, and development projects. Larger opportunities evaluated on a case-by-case basis with capital partner alignment. Sub-$2M situations considered where platform synergies or strategic fit is compelling.
Stabilized NOI / EBITDA
$250K – $5M+
Minimum stabilized NOI or trailing twelve-month EBITDA for operating acquisitions. Development projects are underwritten to target stabilized NOI upon delivery. Value-add situations evaluated on a post-improvement NOI basis.
Geography
All U.S. Markets
Headquartered in North Carolina — our deepest operational infrastructure spans the Carolinas and Southeast. We evaluate acquisition opportunities nationwide. Compelling opportunities in any U.S. market are reviewed against the same disciplined criteria. Geography is not a barrier when asset class and fundamentals align.
Asset Classes
Self-Storage · MF · Industrial · Services
Concentrated focus on sectors where vertical integration through Iron Sparrow Construction and Ark Facility Solutions creates structural execution and operational advantages unavailable to purely financial buyers.
Risk Profile
Investment Risk Categories
Return ranges are illustrative targets based on our underwriting approach. They are not guarantees of future performance. Actual results will vary by deal, structure, and market conditions.
Core-Plus
8–12% IRR · 6–8% Cash-on-Cash
Hold: 5–10 years
Stabilized assets with in-place cash flow and limited near-term capital requirements. Acquired for yield and modest appreciation. Operational improvements executed through platform capabilities without significant repositioning.
Value-Add
12–18% IRR · 7–10% Cash-on-Cash (stabilized)
Hold: 5–7 years
Assets with identifiable operational or physical improvement opportunities. Business plan involves active management, capital investment, and repositioning over a 2–4 year period to achieve stabilized performance.
Ground-Up Development
15–20%+ IRR on equity
Hold: 3–5 years from completion
New construction in markets with demonstrable supply-demand imbalance. Requires strong feasibility underwriting and conservative absorption assumptions. Iron Sparrow Construction provides direct cost and schedule control.
Operating Business Acquisition
15–25% IRR (combined)
Hold: 5–10 years
Essential-service businesses with real estate component. Evaluated on combined real estate and business cash flow. Management continuity, systems improvement, and operational leverage are primary value creation levers.
Sector Focus
Primary Investment Sectors
Each sector is supported by specific integrated execution capabilities through our affiliated operating companies.
Self-Storage
$2M – $25M
12–18% IRR
Value-Add / Development
Integrated Execution
Iron Sparrow Construction manages all ground-up builds and capital improvement programs. Ark Facility Solutions provides ongoing operational management post-stabilization.
Investment Focus
Ground-up development and value-add acquisitions in markets with demonstrable supply constraints. We look for trade areas with sustained high occupancy (90%+), limited new supply pipeline, and below-market asking rents relative to replacement cost. Fragmented ownership creates roll-up and consolidation opportunities.
Ideal Characteristics
Occupancy above 85% for 12+ consecutive months
Asking rents 10%+ below replacement-cost-justified levels
Trade area with no new supply under construction
Owner-operator seeking exit or recapitalization
Multifamily
$3M – $30M
11–16% IRR
Value-Add / Build-to-Rent
Integrated Execution
Iron Sparrow Construction manages renovation scope and new construction. Ark Facility Solutions supports ongoing maintenance programs and unit turn management.
Investment Focus
Workforce housing and value-add apartment communities in growth-oriented secondary markets. Build-to-rent projects evaluated where land basis and construction cost allow for competitive rental pricing. We focus on markets where the homeownership affordability gap creates durable rental demand.
Ideal Characteristics
100–400 unit communities in secondary U.S. markets
Current rents 10-15% below comparable upgraded units
Deferred maintenance with identifiable improvement scope
Workforce price point with strong absorption history
Light Industrial
$3M – $25M
10–15% IRR
Core-Plus / Value-Add
Integrated Execution
Capital improvement projects — dock additions, HVAC, clear height improvements — executed through Iron Sparrow Construction.
Investment Focus
Flex industrial, small-bay industrial, and last-mile logistics in high-growth corridors. Strong tenant demand from e-commerce, regional distribution, and light manufacturing. Focus on markets with limited near-term supply response at the small-bay end of the market.
Ideal Characteristics
10,000–200,000 SF flex or small-bay
In-fill or infill-adjacent locations
Multi-tenant or single-tenant with lease-up opportunity
Markets with demonstrable absorption and limited spec pipeline
Service-Based Operating Businesses
$2M – $20M enterprise value
15–25% IRR (business + real estate)
Operational Turnaround / Growth
Integrated Execution
Operational synergies with Ark Facility Solutions platform evaluated at underwriting. Management continuity and transition planning structured at closing.
Investment Focus
Essential-service businesses with owned or controlled real estate providing downside protection. Recurring revenue models, established customer bases, and defensible market position are key criteria. Owner-operator transitions and family succession situations preferred for off-market access.
Ideal Characteristics
Essential services with recurring revenue
Owned or long-term leased real estate component
EBITDA $500K – $3M with identifiable improvement levers
Owner-operator transition, succession, or recapitalization situation
What We Pursue
Ideal Opportunity Characteristics
We look for opportunities that align with our operational model — where disciplined management, integrated execution, and long-term capital commitment create value unavailable to passive buyers.
Durable underlying real estate fundamentals — not dependent on cyclical conditions
Fragmented market with meaningful consolidation or operational improvement opportunity
Clear and executable path to value creation through active management
Stable or growing cash flows with limited revenue concentration or customer dependency
Owner-operator transition, family succession, or principal looking to recapitalize
Assets where in-house construction and facility operations create competitive advantage
Off-market or limited-process transaction where relationship and certainty matter
Seller who values execution certainty and confidentiality alongside price
What We Avoid
Situations Not Pursued
Being direct about what we do not pursue protects your time and ours. The following situations fall outside our stated criteria.
Highly speculative development without strong supply-demand feasibility support
Assets with material deferred maintenance and no identified execution plan
Single-asset hospitality or retail investments without compelling operating thesis
Businesses with extreme revenue concentration in a single customer or contract
Industries with unfavorable secular headwinds or active regulatory risk
Transactions requiring closing timelines incompatible with thorough underwriting
Assets requiring capabilities or geographies outside core platform competency
Situations where seller is running a broad, highly competitive auction process
Common Questions
Acquisition Criteria — FAQ
Have an Opportunity That Fits?
Submit directly to our acquisitions team. We review all submissions confidentially and respond to qualified opportunities within 48 hours.
