APPA's Impact Investing Approach

An experienced real estate developer in Los Angeles, California, Aaron Marzwell’s real estate career began in student housing and single family real estate around the U.S. From there he worked with on some notable project that include the entitlements for the High Line Park in New York City and the Fulton Street Transit Center. We was a member of the LMCC, which was a public private partnership tasked with coordinate the operating and rebuilding of lower Manhattan after 9/11. In 2007, he joined CIM Group as an associate before advancing to the role of vice president of investment and development. Aaron Marzwell currently serves as the CEO of APPA Real Estate and has experience in various real estate fields, including workforce housing and impact investment.

An accredited B corporation, APPA Real Estate is a US-based investment firm that funds sustainable real estate projects. APPA is utterly dedicated to impact investing - a form of investment where funds are allotted to the development of facilities that will benefit the public while also generating returns for investors. APPA focuses on promoting affordable housing and environmental sustainability. To that extent, it has partnered with a diverse network of impact investors (not limited to individuals, pension funds, and institutional advisors) to initiate and manage multiple projects geared toward these goals.

APPA devotes the vast majority of its housing projects to workforce housing and co-living. The firm focuses on workforce housing as a means to support more affordable housing for essential workers like police, teachers, and healthcare workers in various communities. Workforce housing is designed to be affordable for young, employed individuals. APPA saw the sparseness of workforce housing in its primary market and has stepped in to complement the federal and state efforts in this regard.

Co-living apartments share similar objectives with workforce housing in terms of affordability. The difference, however, is that co-living apartments are designed for multiple tenants. Each tenant has their own personal rooms and bathrooms but shares common areas with other tenants. Co-living apartments typically come furnished and are suitable for students, newly-relocated individuals, corporate travelers, and digital nomads.

APPA Green Real Estate Development

A distinguished real estate executive, investor, and developer, Aaron Marzwell has served as the CEO of APPA Real Estate in Los Angeles, California, for nearly a decade, overseeing all aspects of the firm’s project development. APPA also undertakes real estate impact investing under the guidance of Aaron Marzwell, intending to make a return on investment while simultaneously having a beneficial environmental and social effect through various approaches, such as green real estate.

A certified B corporation, APPA Real Estate is committed to fostering the development of affordable housing and a sustainable environment while providing concurrent returns to its accredited impact investors. One of the key investment endeavors of the firm is the development of green real estate.

By promoting green real estate development, APPA steps in to mitigate detrimental processes and activities concerning the environment. By definition, green real estate strategies are approaches designed to preserve the sustainability of the environment. An environment is sustainable when resources are integrated into a clever loop of usage and recycling to ensure the long-lasting availability of those resources.

APPA's approach to green real estate development is meticulous. The firm upholds practices that align with this goal from the very beginning of each project. APPA boasts innovative architecture that relies on locally-sourced materials and also improves energy and water efficiency. The firm is also fastidious about waste generation and management in every project. APPA's projects minimize waste output by avoiding raw materials that can't be recycled and recycling every scrap generated in each project's development stage.

Increasing Priority in Urban Areas

The chief executive officer of APPA Real Estate, Aaron Marzwell helps investors generate passive income through multi-family and development investments. Developer Aaron Marzwell maintains a particular interest in creating affordable workforce housing.

In urban areas, housing can be financially out of reach for moderate to middle-income workers, making long commutes necessary. Workforce housing generally refers to affordable housing for households that earn between 60 percent and 120 percent of the area’s median income. Additionally, workforce housing should cost no more than 30 percent to 40 percent of an individual’s income.

In 2021 the Los Angeles City Council approved an eight-year plan for housing development that will allow for the construction of nearly half a million new housing units by 2029. Along with new construction, remedies for the workforce housing problem include government financing programs such as tax credits, mortgage revenue bonds, and local financial assistance programs. Additionally, regular changes such as zoning and building code changes can increase the supply of housing to accommodate city workers whose income exceeds affordable housing thresholds.

Requirements for Certified B Corporation

The former vice president of CIM Group in Los Angeles, real estate developer Aaron Marzwell has led APPA Real Estate as a chief executive officer since 2013. Under Aaron Marzwell’s leadership, APPA Real Estate received designation as a Certified B Corporation.

Certified by the nonprofit B Lab network, a B Corporation has demonstrated a commitment to high standards in materials, supply chain practices, employee benefits, charitable giving, and more. First, the company must earn a score of 80 or above on a B Impact Assessment, which evaluates environmental and social performance. The company must alter its governance structure to ensure its accountability to stakeholders and shareholders.

Further, a B Corporation must consent to its performance information being included on the B Lab nonprofit’s website, where the public can evaluate it against B Lab standards. To achieve B Corp status, companies undergo a rigorous application and evaluation process that considers teams and departments across the company. B Lab evaluates work processes, structure, and operations to ensure a company’s commitment to people and the planet. To ensure ongoing adherence to these principles, B Corps must undergo recertification every three years.