Real Estate BD assists you by providing access to new economy sectors such as cell towers, data centers, and networked logistics properties, which supplement traditional real estate property types for a secure institutional investment.
Institutional Investment In REIT
In recent years, there has been a lot of focus on institutional investment strategies and investor monitoring abilities. It has been established that ownership structure (and thus shareholder activism) has a direct impact on shareholders’ ability to monitor management’s activities. Furthermore, the monitoring capability provided by institutional investment may have an impact on a firm’s value. Several studies have also found that institutional investors’ investment strategies have an impact on stock returns and their autocorrelation. Real Estate BD provides an excellent opportunity to investigate issues concerning institutional investment and value monitoring. Our assets range from office buildings, shopping malls, and apartments to hotels, warehouses, and even data centers. Diversification is one of the competitive advantages of real estate that seasoned investors appreciate.
Our Diversified Institutional Investment Scope
1. Equity REITs
Real Estate BD operates as equity REITs, giving institutional investors access to diverse portfolios of income-producing institutional investments that they could not otherwise afford. We own properties that are leased to tenants in a variety of real estate sectors, including office buildings, shopping centers, apartment complexes, and more. We pay out the majority of their profits to shareholders in the form of dividends.
Our home loan REITs (mREITS) finance income-producing real estate by purchasing or originating mortgages and mortgage-backed securities and earning interest on these institutional investments. We also make loans or extend capital to real estate groups for existing properties. Integrated real estate advice services, such as leasing, property management, accounting, valuation, and assessment services, are what we offer to REITs.
Make An Institutional Investment With Real Estate BD
Why Invest With Real Estate BD
1. Portfolio Diversification
Real Estate BD offers investors the ability to allocate their funds into multiple real estate assets, spread out geographically and diversified by type of tenant. While assets within the REIT can fluctuate in value, it isn’t common for all assets to be adversely affected simultaneously. This helps to lower an investor’s specific market risk when making an institutional investment into a large-scale and well-diversified REIT.
2. Institutional Quality Assets
Real Estate BD has a professional and skilled management team who purchases properties based on calculated income streams, leaving emotion out of valuation metrics. We help offer investors peace of mind, as they can make the institutional investments with their hard-earned capital knowing a seasoned and qualified team is working diligently to manage and optimize the assets within the fund.
3. Frequent Valuation
Many investors are drawn to us not only for the capital growth opportunities but also for the regular cash distributions that we make (not to be confused with income or dividends). You can assess the potential health and strength of our REIT and assess how much of our Funds From Operations (FFO) – otherwise known as a payout ratio – that we are distributing.
4. Tax Efficient Capital Appreciation
Investing into our professionally managed real estate means investors are usually able to invest using registered funds such as TFSA, RRSP, RRIF, etc., helping to shelter potential gains on their holdings. When our Units are held within a registered account, the institutional investment is subject to the tax rules of the registered account itself, regardless of what occurred tax-wise within the REIT that year.
5. Finding the Right Portfolio Balance
As with any institutional investment, it is important to do your due diligence and evaluate the REIT’s historical performance, its strategy, its management team, and the investment process. We ensure you’re investing with a management team that are leaders in the business, and who have a proven track record of astute decisions and returns to investors, which are essential pieces in the review process. The evaluation is well worth the effort to find a real estate whose specifics can complement your existing investment portfolio and align with your institutional investment goals.
Whatever asset or investment vehicle is used, all institutional investment groups are concerned with the bottom line. They want to increase the value of their home while lowering their expenses.
For many on-the-ground operators, this means lowering operating expenses (OpEx) in order to increase net operating income (NOI) (NOI). With utility costs rising, property managers and engineers are turning to new technologies such as energy management systems to identify the best retrofit and upgrade projects.
While the return on institutional investment for these moves may provide immediate value to the owner, the long-term return is frequently much higher. Over a 5- to 10-year period, the $30,000 HVAC system may reduce OpEx by $50,000, providing $20,000 in value annually.
Furthermore, the increase in asset value provided by a new HVAC system and EMS can provide even greater resale value. Everyone is looking for a return, regardless of the type of institutional investment or risk involved. Real Estate BD with real-time energy management can help with that.