Due Diligence Analysis
The “devil is in the details” and we know details. Value is created when you buy, not when you sell. Our Due Diligence Analysis service helps you gain a thorough understanding of the real estate you are purchasing.
We’ll abstract leases, provide a market analysis showing comparable rental rates, vacancy, typical operating expenses, rent escalations and tenant improvement allowances. We interview tenants, audit the sellers operating expenses by reviewing the general ledger, income/expense statements, actual invoices. We review service contracts, environmental studies, property condition assessments, appraisals, etc. We evaluate property taxes, parking, consider guarantors, review Estoppels, zoning and closing statements. We produce a 10-year pro forma analysis, accounting for income and expenses, returns and other ratios/metrics. The overall objective of the due diligence analysis is to provide you an accurate financial picture of the property you are purchasing.
For examples of how our due diligence analysis service provides value to YOU, please see our Client Results page.
Property Tax Appeals
Property taxes are typically the largest single operating expense for a property and we’ve had a lot of success appealing property tax values on behalf of property owners.
We’ll evaluate your property and determine whether or not we believe it’s a good candidate for an appeal. If it is, we’ll process the appeal paperwork and provide either written or oral support at the appeal hearing. You are only billed if we succeed in reducing your property tax value.
For examples of how our property tax appeal service provides value to YOU, please see our Client Results page.
The Acquisitions Underwriting is the upfront pro forma analysis we provide you to help you determine the amount you’re willing to offer on the purchase of a property you are considering.
For examples of how our acquisitions underwriting service provides value to YOU, please see our Client Results page.
Our Dispositions Consulting service helps you maximize the value of the property you are considering selling.
Perhaps there are some adjustments we can make prior to you selling which will improve the cash flow and therefore increase the selling price. Example: if you can increase income by $1,000 and you are selling at a 7% cap rate, you’ve increased your sale price by over $13,000. If you can increase income by $12,000 ($1,000/month), your sale price increases by over $170,000…
We can help you put together the due diligence materials a buyer is going to request and we can help you mitigate property related problems before they become issues for buyers.
Finally, we can help you find a broker that will represent YOU and YOUR interests (instead of their own) and we can help hold that broker accountable.
For examples of how our dispositions consulting service provides value to YOU, please see our Client Results page.
Value Enhancement Audit
For the Value Enhancement Audit, you’d make your real estate files available to us and we’d perform an audit of the files looking for opportunities to increase the value and/or savings of your real estate portfolio.
For examples of how our value enhancement audit service provides value to YOU, please see our Client Results page.
The Lease Analysis could be the review of the business terms of a lease you are considering as either landlord or tenant (lease rate, term, escalations, reimbursement method, reimbursement cap, tenant improvement allowances, free rent, early termination options, co tenancy clauses, acceptable and exclusive uses, guarantors, renewal options, tenant financials, etc.).
The Lease Analysis service could also be lease abstracting or the general organization of your lease files. So much “meat” is in the lease and to maximize value, it’s imperative you have a thorough understanding of such.
For examples of how our Lease Analysis service provides value to YOU, please see our Client Results page.
Asset Management is essentially a combination of all of our services. We assume the landlord role and you can be as hands on or hands off as you’d like – it doesn’t change our approach. We treat every property as if we personally own the real estate and we are always striving for methods to increase value and/or savings.
For examples of how our Asset Management service provides value to YOU, please see our Client Results page.