Strategic Plan to Exit Office
Investment Strategy
•
Generate attractive risk-adjusted returns by investing in net
lease commercial real estate, primarily in the U.S. and Northern
and Western Europe
Protect downside by combining credit and real estate
underwriting with sophisticated structuring and direct
origination
Transactions Evaluated on Four Key Factors
Creditworthiness
of Tenant
• Industry drivers and trends
Competitor analysis
•
Company history
•
Financial wherewithal
•
.
Acquire "mission-critical" assets essential to a tenant's
operations
Create upside through rent escalations, credit improvements
and real estate appreciation
Capitalize on existing tenant relationships through accretive
expansions, renovations and follow-on deals
Criticality of Asset
•
W. P. CAREY
Key distribution facility or profitable
manufacturing plant
Critical R&D or data-center
Top performing retail stores
.
Hallmarks of our approach:
Diversification by tenant, industry, property type and
geography
Disciplined
Opportunistic
Fundamental Value of the
Underlying Real Estate
• Local market analysis
• Property condition
•
·
3rd party valuation / replacement cost
Downside analysis / cost to re-lease
•
Proactive asset management
Conservative capital structure
Transaction Structure
and Pricing
• Lease terms - rent growth and maturity
• Financial covenants
Security deposits / letters of credit
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