Real Estate
Investment Approach
Our real estate operations’ approach to investing is guided by some core investment principles, many of which are similar to our private equity operation, including: global scope, focus on large transactions, superior financing expertise and operations oversight. In addition, our real estate investment approach includes:
Investment Strategy
Our real estate investments have been made in a variety of sectors, geographic locations and business climates and run the gamut from acquisitions of single assets to acquisitions of large, multi-asset companies and from stable assets to assets that require repositioning or extensive overhaul. Our real estate investments include hotels, office and residential buildings, retail space, hospitals & clinics, terminals, distribution and warehousing centers and a variety of real estate operating and construction companies. This broad investment mandate allows us to source and execute unique and complex transactions, including direct equity investments in real property, debt investments secured by real estate, privately placed real estate securities, joint ventures and real-estate operating companies.
Quality Assets with Temporary Flaws
We try to identify well-located institutional quality properties that suffer from temporary or correctable flaws in their tenancy, physical attributes, capital structures, market position and/or management. By exploiting the pricing and operating inefficiencies inherent in assets of this nature and employing intensive asset management to correct the identified flaws, we can reposition such assets for subsequent sale to institutional investors at attractive pricing.
Management Oversight
Each real estate asset is managed by an individual team of real estate management professionals at the subsidiary or sister company level. They, in turn, are managed by and report to our private equity team at SOZA Group. Regional asset management teams are deployed in various areas and industries. We use our asset management team extensively in our investment analysis process, and we specifically seek out investment opportunities where we can leverage the skills and expertise of our asset management professionals. We also seek to partner with real estate operators who have specific knowledge and insight into local real estate markets or asset classes. These partners not only provide us with hands-on operating knowledge and expertise, but are also a source of proprietary deal flow.
SOZA Group Advantages
Significant Financial Resources
SOZA Group’s deep financial resources allow the firm to support ongoing investments and capital improvements for portfolio companies and/or properties, to tolerate short-term, temporary fluctuations in the real estate market and to commit quickly and with confidence to a transaction.
Commitment to Long-Term Relationships
Consistent with its approach toward private equity investing, SOZA Group is committed to pursuing “symbiotic” real estate transactions. The firm’s culture emphasizes respect and integrity in dealing with outside parties and reflects a long-term approach to creating and cultivating relationships with operating partners, sellers and financial partners.
Network of Strong Relationships
SOZA Group has developed a strong network of domestic and international relationships with leading financial institutions, operating partners, senior business executives and government officials. This network has allowed the firm to access key information and deal execution resources at critical points in the investment process.