Raising Large-Scale Real Estate Capital from Opportunistic Overseas Deep Value Investors

Abstract

This document is market agnostic, meaning that it is applicable to any emerging market and is focused on the investor mindset. Its objective is to provide seekers of capital a window into the mindset of the investor. Often, particularly in markets outside of the US and Europe, real estate asset managers and developers source an interesting investment opportunity and then go out and find capital. This document’s objective is for emerging market based real estate asset managers and investor mindset developers to learn to work in a collaborative way with global investors to source and close investment opportunities. In addition, the document will provide emerging market real estate asset managers and investment minded developers a roadmap of how the global large-scale deep value investor thinks. The hypothesis is that real estate asset managers in markets that are going through transition are better served to think of themselves as product development organizations for a large and specific customer: the opportunistic global investor. This document will cover the five W’s that we learn in the USA in elementary school. Who? What? Where? When? Why? And of course the most important, how? The methodology of this report is not secondary research based on published or already researched. It is based on primary research such as interviews with foreign investors and local developers. The author is an active participant and facilitator of the strategies outlined in this document. The research concludes that, at this time the cycle, there are tremendous opportunities for local real estate emerging market real estate asset managers and investment minded developers who work in a collaborative format with large scale global deep value investors.