Insights
Short, infrequent notes on what we are underwriting and why. No market commentary for its own sake.
Underwriting
The base case is a story; the downside is a constraint. We price every acquisition off the case in which leasing is slow, costs run over and the exit is late — and only then ask what the upside adds.
It means we pass on assets that look attractive on the pro forma, and it is the single discipline that holds all four tiers to the same standard.
Strategy
The second tier earns its premium from one or two identified levers — a lease-up, light capital works, expense repositioning — not from borrowing more against a stabilised asset.
Investors conflate the two in both directions: expecting Core distributions from a Core-Plus plan, or paying Core-Plus pricing for an asset with no lever left to pull.
Allocation
A boutique structure lets investors of all sizes spread across tiers rather than pick one. A Core anchor with a Value-Add satellite behaves very differently from either on its own.
Start from the return profile and holding period you want, then let the blend follow — which is exactly the conversation we have on first contact.
