The key investment products we develop to create equity value in our real estate investments include the following:
- Built-to-suit developments
Differences in yields between development costs and market value of leased, stabilized assets provides an opportunity to identify land plots attractive to tenants, forward-lease them up and sell the developed, leased assets at a significant premium.
- Repositioning of existing assets
Changes in local real estate markets create opportunities to anticipate the future relocation needs of tenants, enabling repositioning of assets in order to realize their highest and best use, thus increasing their market value
- Change in management:
Fragile financial situations of a number of landlords prevent them from implementing optimization strategies on some of their own assets, most of the time because their access to liquidity is very limited. Such assets become problematic for their current owners, and can therefore be acquired at a significant discount to market value.
Similar discounts can be achieved on REO properties.
- Sale-and-leasebacks
Limited access to liquidity for financially sound companies provide opportunities of sale-and-leaseback on some of their assets, with terms more favourable to the landlord than in the past years (higher rental guarantees, longer leases, ...)