Risk-Adjusted Stratagies
Core
Risk Level: Low
Property Type: Stable, high-quality assets
Cash Flow: Steady and predictable income
Capital Appreciation: Moderate
Holding Period: Long-term (5+ years)
Investor Involvement: Limited
Core-Plus
Risk Level: Moderate
Property Type: Stable assets with some upsides
Cash Flow: Moderate cash flow
Capital Appreciation: Moderate to high
Holding Period: Medium-term (3-5 years)
Investor Involvement: Moderate
Value-Add
Risk Level: High
Property Type: Assets that often require improvement
Cash Flow: Potential for increased income
Capital Appreciation: High
Holding Period: Medium-term (3-5 years)
Investor Involvement: High
Opportunistic
Risk Level: Very High
Property Type: Distressed or undervalued assets
Cash Flow: Highly variable
Capital Appreciation: High
Holding Period: Short-term (1-3 years)
Investor Involvement: Extremely High