We believe our current market presents itself with a generational buying opportunity. Overbuilding in some markets, post-Covid changes in office work habits, expense inflation, flat or falling rents, and the doubling of interest rates and a rise in cap rates has created the perfect storm for financial distress. More borrowers have defaulted on their commercial loans than any time in recent history, including during the Great Recession. Many borrowers are now upside down on their properties with negative cash flow and their equity wiped out. Properties are trading in some cases for 10 cents on the dollar of prior values and well below replacement costs.

Through our consulting business doing loan workouts for distressed borrowers and contacts in the lending industry, we have access to off market distressed properties. We understand how bankers think and how to structure win-win deals to avoid the expenses and headaches of foreclosure, the hassles of becoming a landlord and the reserves that must be set aside to cover loan losses.

We partner with accredited investors, family offices, and select institutional partners to identify and acquire high-quality real estate investments. We then formulate a turnaround strategy that may include rehabbing, redevelopment, recapitalization, filling vacancies, adding amenities to boost occupancy and other strategies. Our current focus on distressed and opportunistic off-market acquisitions allows us to purchase properties well below replacement cost, creating a strong margin of safety and exceptional upside for our investment partners. If you’re looking to put capital to work alongside an experienced team, let’s talk.