Real Estate

Rates, credit conditions, demographics and demand drive property more than any single location does. A well-placed building can still be a poor investment if it was bought at the wrong point in the rate cycle or financed with the wrong debt.

We’ve covered residential, logistics and commercial property across Europe, North America and Australia, and looked closely at how each behaves in a downturn. Falling values, rising vacancy and refinancing pressure don’t hit every segment the same way. Residential rests on steady demand but is exposed to regulation and rent controls. Logistics follows trade and consumer spending. Offices and other commercial space depend on how people work, which has changed and may keep changing.

Our main focus is critical infrastructure real estate, including power, connectivity, land and the supporting facilities. Demand for this kind of capacity is rising faster than supply can be built, and projects of this kind reward careful work on site selection, power access, build cost and timing.

“…Residential rests on steady demand…”, “Logistics follows trade and consumer spending…” “…commercial space depend on how people work…” Demand for critical infrastructure is rising faster than supply can be built

Whatever the property, we start from the same place: what it earns, what it costs to build and run, what capital it needs and how it can be sold. Our engineering background helps here, because energy standards, ageing structures and construction costs can move a return as much as the purchase price, and they are often underestimated. That is how we value a property, and it is why we can tell a sound opportunity from one that only looks good on paper.

We have a clear view of the patterns, including where debt was the real problem rather than the property, and where income held up when values fell.

Status: market research done for our target segments. Preparing to launch.