Northwood invests in various levels of the capital structure that have limited downside risk, while seeking to generate attractive risk-adjusted returns with upside potential through capital appreciation or repositioning, with a particular focus on major metropolitan areas of the U.S. and super-regional markets in Europe.

INVESTMENT OBJECTIVES
  • Capital preservation and attractive risk-adjusted returns
  • Create long-term value through execution and a hands-on asset management approach
  • Align interests between principals and investors through transparency and significant capital commitment
  • Target investment themes based on macroeconomic and real estate market trends
  • Identify mispriced opportunities not recognized by the broader market
INVESTMENT STRATEGIES

Value-Added Repositioning

  • Opportunities focused on value creation as opposed to "quick flips"
  • Properties that are under-managed or under-capitalized
  • Opportunities mispriced or undetected by the current market
  • Continuation of successful investment practice in all property types

In-fill Development or Redevelopment

  • Longer-term, complicated projects with significant profit potential
  • Projects with time horizons beyond the holding period of typical real estate opportunity funds
  • Land planning and entitlement projects with compelling risk/reward profiles
  • Projects with larger footprints and scope for additional development

Real Estate Securities

  • Generate attractive risk-adjusted returns throughout the capital structure in both equity and debt securities
  • Application of private equity knowledge to find inherent value in companies
  • Opportunities arising from changing credit markets
  • Toehold positions to gain access to information in evolving situations with the goal of obtaining control
  • Top-down and bottom-up approach to find undervalued opportunities

Distressed Situations

  • Work within existing capital structures to restructure loans as defaults rise
  • Identify properties or real estate-related companies in bankruptcy, reorganization or liquidation
  • Maximize returns by adding value through ability to take control of properties
  • Fund redevelopment capital necessary to convert properties to their highest and best uses