We’re grateful for another year of disciplined execution and forward momentum at Gray Property Group in 2025. The year marked a transition from groundwork to execution, with meaningful progress across acquisitions, development, asset management, and organizational structure. Across investment, property management, brokerage, and predevelopment, the firm remained focused on long-term value creation and institutional-quality decision-making.
Portfolio Expansion and Improvements: In 2025, Gray Property Group closed on the acquisition of Phillippi Square Apartments, a 28-unit multifamily property in Sarasota, Florida. Following the acquisition, the firm executed a targeted value-add program focused on enhancing curb appeal and resident experience, including upgraded landscaping, new pool furniture, and light cosmetic improvements to select units. In New Hampshire, Gray Property Group completed a heavy value-add renovation of a 4-unit property in Manchester, modernizing interiors and addressing deferred maintenance to materially improve long-term performance. The firm also secured municipal approvals to construct 8 leasable garage storage bays at Liberty Manor Apartments, a project scheduled for completion in Spring 2026 and intended to generate incremental, non-residential income.
Development Progress: 2025 represented a major inflection point for the Palmetto Marina & Main project in Downtown Palmetto, Florida. During the year, Gray Property Group achieved several critical milestones, including finalizing a 13-year CRA tax incentive, securing a comprehensive plan amendment to permit higher density within the Coastal High Hazard Area (CHHA), refining the project’s pre-design package, and drafting a 75-year parking lease governing the City’s long-term use of dedicated public parking within the garage. With these items substantially complete, the project is nearing the conclusion of the due diligence phase and is positioned to advance into the next stage of approvals and execution.
Property Management Operations: In September 2025, Gray Property Group completed an all-equity merger of its property management and maintenance operations with Pierce Management Group. Under the transaction, Gray Property Group received a 38% ownership interest in the combined management platform. Following the merger, the platform oversees approximately 650 residential units across New Hampshire, along with select commercial properties. Gray Property Group retains full control of its owned assets while concentrating internal resources on asset management, capital planning, and long-term portfolio strategy.
Brokerage Activity: Brokerage operations remained selective and relationship-driven in 2025. The firm’s brokerage team closed 16 transactions totaling approximately $7.9 million in sales volume, spanning residential and small multifamily assets. Activity continued to emphasize advisory-quality execution aligned with ownership and investment objectives rather than volume-driven growth.
Financial Performance: Across its operating lines, Gray Property Group generated approximately $2.7 million in total revenue during 2025. The owned portfolio continued delivering cash returns to investors in the 10%-12% range, and returns on equity in the 14%-16% range, reflecting disciplined expense control, stable operations, and conservative leverage.
We close the year with appreciation for our employees, clients, investors, and residents. Their trust and continued partnership support Gray Property Group’s mission of providing well-maintained, thoughtfully managed housing while pursuing durable, long-term value creation.
