Vision, knowledge and performance describe the essence of WWA's successful approach to investing in real estate. With our seasoned team of professionals who have worked together for several years, we have a unique perspective from which to implement our value-added strategy. The operating experience that has been gained from developing, acquiring and managing properties through multiple real estate cycles provides our team with a broad understanding of how to maximize value and make insightful judgments.
In seeking to deliver attractive risk-adjusted returns for our Fund investors, Waddell, Williams & Associates employ several proven and focused investment strategies.
Single Asset Transactions: Waddell, Williams & Associates utilizes the Principals' substantial real estate experience, management expertise and long-term relationships in sourcing, selecting and acquiring single asset investments, with an emphasis on well-located assets and institutional quality potential. Waddell, Williams & Associates will focus on three primary strategies within single asset transactions:
- Value Creation: Waddell, Williams & Associates acquires real estate assets which have the potential for significant cash flow and residual value enhancement potential through creative and aggressive asset management, including real estate that requires our management expertise and capital improvements to enhance operating efficiencies and increase value until realization.
- Value Investing: Waddell, Williams & Associates targets the acquisition of real estate assets at a discount to their replacement cost or, in some cases, below their current market value.
- Larger Transactions: Waddell, Williams & Associates seeks to create institutional grade investment funds from $50 million and above that focus on acquiring multiple single asset investments in new resort communities and new commercial projects that capitalizes on the imbalance between supply and demand thus providing returns acceptable to institutional investors.
Complex Ownership Situations
Waddell, Williams & Associates seeks opportunities to acquire real estate, builders and developers assets which are under-valued due to the complexity or illiquidity of the existing ownership or capital structure. In such situations, Waddell, Williams & Associates will seek to actively work through the complexities, gain control of the asset and prepare such asset for sale, without the prospective risks of bankruptcy, fragmented ownership or property-level issues.
Illiquid Assets
Waddell, Williams & Associates' real estate investment and management expertise, in combination with financial and corporate skills, looks to capitalize upon unwilling owners in illiquid structures. Waddell, Williams & Associates will seek: (i) passive opportunities in which the interests of an entity can be acquired at a significant discount to the underlying net asset value with the knowledge that the underlying assets are nearing their disposition; and (ii) owners of assets or holders of interests who seek to sell in an illiquid market.
Entity Recapitalizations
Waddell, Williams & Associates seeks to capitalize on pricing arbitrage opportunities within and between the public and private markets. WWA will make investments in entities that require additional capital to restructure their ownership, recapitalize their portfolios, fund additional acquisitions in order to achieve the more attractive multiples of larger, well-capitalized entities in the public market or, in some cases, capitalize upon the significant spread between the private net asset value of a public entity's underlying real estate and entity's value.
Platform Investments
Waddell, Williams & Associates will consider private equity investments in experienced real estate operators, builders, developers or operating companies that require capital to expand or create an enterprise with a significant asset base. WWA will seek to build enterprises that it cannot build efficiently on its own, in areas that possess exit opportunities and significant upside through: (i) the consolidation of a fragmented asset ownership base; and (ii) the potential for attractive returns on cost due to an enterprise's leading expertise or specific industry profile.
International Ventures
While the Funds' primary investments focus remains in the U.S., Waddell, Williams & Associates has access to opportunities within global markets. Unlike our typical domestic investment strategy, Waddell, Williams & Associates accesses these global opportunities through experienced, sophisticated local partners and operators who have established long-term relationships within their markets and have access to proprietary transaction flow.
