Strategy.

We take a disciplined, ground-up, value-focused approach to every opportunity. We look first for strong downside protection, then analyze the components that can generate upside: strategic capital infusions, repositioning for revenue growth, and a thorough review of expenses to improve operating efficiency and drive bottom-line growth.

We seek an edge over our competition through a highly analytical approach that uncovers and maximizes value, with the goal of achieving attractive risk-adjusted returns for our investors.

The right price is our first margin of safety.

Capitalization structure

We raise money on a deal-by-deal basis as opposed to a fund structure. Each investment structure is tailored to the risk profile and nature of the projected return, whether weighted toward cash flow or residual value. While leverage juices returns in good times, we prefer low-to-moderate debt levels in our deals, in line with our "protect the downside" mentality.

Flexible duration and value-oriented

Many of our investments are underwritten with a view toward long-term hold periods, which differentiates us from other sources of private equity and lets us take advantage of the favorable tax attributes inherent in real estate investing. Downside risk mitigation is at the forefront of our process: we favor well-located real estate that can be acquired below replacement cost.

Alignment with investors

We believe it is critical that those making the investment and management decisions invest significant personal capital in these investments. Our founding principal has nearly all of his personal net worth dedicated to investing alongside our partners.

What we look for

  • Asymmetric payoffs, where current cash flow or contractual economics protect the downside while a specific business plan creates upside
  • Complexity-driven mispricing rather than commodity market beta
  • Assets that require hands-on execution, legal and tax structuring, stakeholder management or long-term patience
  • Transactions larger institutions pass on because they are too small, too unusual or too operationally intensive

Investment objectives

  • Deploy into investments which provide the opportunity for asymmetric upside
  • Identify mispriced opportunities not recognized or favored by the broader market
  • Find special situations which require complex analysis and creative structuring to maximize optionality and positive outcomes
  • Create long-term value through execution and a hands-on asset management approach
  • Align interests between principals and investors through transparency and significant capital commitment
  • Target investment themes based on macroeconomic tailwinds and specific market trends
  • Under promise, over deliver

Investment philosophy

Our philosophy is anchored in downside protection, disciplined underwriting of complexity, and active ownership. We seek situations where underwriting, structuring and asset management skills are directly relevant, and we are comfortable being the buyer when an opportunity is too complex for others to price with confidence.