Manage-to-Value in the real estate sector

It is difficult to add core properties – that is, properties with an excellent occupancy rate, stable returns and modest investment requirements – to a portfolio. But that’s no reason to completely forgo this asset class, which has excellent value prospects. Instead, you can learn how to identify uncut diamonds in the real estate market with the help of an experienced real estate consulting team and develop them into high-value assets.  

HOW DO YOU STRENGTHEN YOUR REAL ESTATE PORTFOLIO?

• How do you acquire attractive properties in a market swept clean of core real estate?
• Are you in a position to purchase and develop high-yield properties on the secondary market?
• Can you undertake redevelopment projects, that is, real project developments that go beyond simple paint jobs?
• Can you successfully reposition and market newly redeveloped established properties to create value?

BEST RETURN OPPORTUNITIES WITH SECOND-ROW PROPERTIES

Core properties – well-let properties with stable returns and little investment required – are highly sought after. Accordingly, investors rarely have the opportunity to add these properties to their portfolios. Or a high purchase price reduces the expected return.

In this case, it is worth taking a look at second-tier properties, which are often even the better choice compared to overpriced core properties. The prerequisite: you are not afraid of real project developments and are prepared to completely rethink and reposition existing properties with minor flaws in order to generate value. Drees & Sommer's experienced real estate team supports investors in their “manage-to-value” strategy, which transforms properties with potential into top real estate.

Our network covers all the issues that matter to you. For example, we analyze the market, the location, the space, the potential of the property, and its profitability. We also estimate investment costs, evaluate ancillary costs, and carry out a building law review. For renovations, we develop concepts for indoor climate, building energy, and technical building equipment (TBE). Want the new addition to your portfolio to be a smart building? We're happy to help. We plan the construction phase using building information modeling.

It's all about the users? We couldn't agree more. That's why we also provide you with a room and function plan, concepts for use, marketing and leasing, interior design and workstations.