Our Value-Add Platform focuses on acquiring high quality and well located properties that are performing below their competitive potential. It is a straight forward process, whereby we: assess the upside, make the acquisition, solve the business issues and then sell the asset. This is generally a three to five year process where following the post acquisition investment, the property can be marketed as a Core property. In this Platform, the Terminal Value generally contributes 60% to 70% of the Total Return. The exit valuation typically benefits from both a significant improvement in the property NOI and an improved exit cap rate realized at sale. We target a 40% to LTV of the NAV after completion of the re-positioning work. The Net Investor Return target is in the mid teens.
Focused on large US markets with more than 200,000 persons and other selective dynamic markets with strong growth forecasts.
Looking for well-balanced property fundamentals including strong competitive position, retailer demand and rent growth.
We invest in properties that are high-quality but are currently under-performing their potential due to a lack of capital or expertise to upgrade the properties and their tenant mix
We target a stabilized Loan to Value of 40% or lower after the property has completed most of its Fix-it work.