Our team works with clients to structure real estate funds and joint ventures that will appeal to institutional investors.
Raising equity for real estate investment starts by understanding the mindset of potential investors, understanding real estate and considering the tough questions they will ask:
Why this fund?
Why this investment strategy?
Why this asset manager?
Why now?
Is there an alignment of interest?
Is the risk / return balance appropriate?
Is the level of leverage appropriate for the strategy?
Is there sufficient governance in place?
To achieve a successful placement, an assignment will typically involve:
Initial consultancy. Providing advice on:
- The fund’s investment strategy – sector and geographical focus, tenant exposure, yield profile, target returns, gearing;
- The commercial aspects involved in setting up a fund – such as, interest alignment, fee structure, fund size, liquidity provisions, legal and regulatory requirements, governance and debt strategy;
Preparation. Preparing for meetings with potential investors, including advice on presentations and documents, and then using our knowledge of the global investment market to agree a list of priority investors to approach;
Placement. We undertake the presentations with the target investor list to optimise the proposition and value to the targeted investors;
Closing. We advise on the optimum method of closing to achieve the strategic aim and work closely with lawyers to conclude the transactions;
Ongoing advice. Providing comment and feedback throughout the equity raising process.
Investment Advice and Co-investor Due Diligence
Indirect investors seek specialist technical capability, high quality market interpretation, access to increasingly diverse asset managers and the intellectual capability to optimise the performance of their investments. These requirements are often enlarged by a need for additional resources whilst the investor retains the executive decision.
CBRE provides Investment Advice and Co-investor Due Diligence for investors aiming to leverage on the available knowledge and experience before deciding to commit capital to a fund.
Working with CBRE
Clients increase their chances of a successful outcome working with us as we:
Have access to investors on a global basis. Through our platform as part of CBRE, we have access to the key real estate investors across the globe;
Can present an outstanding track record. Over the past five years, we have completed US$7.3bn of transactions:
Equity raising (fund, JV or club deals) and structuring
Secondary placement
Investor due diligence and investment advice
Have unrivalled knowledge of property. As part of CBRE, we have access to an outstanding breadth of data and experience;
Observe a clear focus. Our expertise lies in real estate, and we rarely accept instructions outside this sector;
Apply a range of technical capability. Our team includes accountants, property specialists, corporate financiers and analysts;
Support our advice with market leading financial modelling. Working with our financial consulting team.
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