Other than the fact that a place to live and set up shop is always in demand, the track record and reputation of real estate investment speak for itself, particularly compared to alternative asset classes.
A solid real estate investment that is well-maintained offers a predictable cash flow from contractual rental income from tenants in high demand rental markets.
Real estate dividends are substantial because 90 percent of its taxable income must be distributed to shareholders annually.
Real estate investments minimize the overall risk of a portfolio because of their low correlation to other major asset classes.
- Equity Build-up
As we improve and restore properties, we add value to our investments by increasing that property’s worth. This means that when or if sold, the property will fetch a higher price that our initial investment. Ultimately, the building is better oﬀ, the community is better oﬀ and our shareholders are better oﬀ, receiving returns higher than what was invested.
- Market Appreciation
When we purchase a property, we are accepting its value within the market. However, we know that as the market changes for various reasons, such as inflation, increased demand, decreased supply, our asset increase in value over time. The general trend is that real estate values tend to rise over time.
Reimagining Revenue Enhancement
We target stable properties with low vacancy rates of diversified and quality tenants to ensure gradual and consistent rental income growth and establish new revenue sources. By investing in efficient and sustainable property management and development, we reduce turnover, improve quality of living, and increase the inherent value, upside, and longevity of buildings and their surrounding communities.
Adding Value with Operational Improvements
Through automation and tight budget control, we improve our properties' efficiency by eliminating workforce costs and wasteful practices. We attract and retain quality tenants with strong credit ratings through continuous tenant improvements and targeted marketing efforts.
Increasing Transparency and Accountability
We align the interests of sponsors and investors through incentive compensation schemes and responsible oversights methods, including real-time monitoring of property management metrics, control of property management accounts and the budgeting process, and quarterly property finance and cash flow distribution reports.