Investment Strategy

May 13, 2011

Harwood International’s (HI) investment strategy is the product of its collective expertise in the development, leasing, operation, financing and sales of real estate. Our investor clients benefit from the insight that results from the full range and geographic breadth of our market activities. HI has more than 30 years of experience in creating and successfully managing capital and real estate investments for numerous third-party investors and represents more than two million square feet.

HI’s vertically integrated real estate investment, development and management capabilities provide the flexibility to pursue a wide variety of opportunities. Accordingly, HI can pursue investment strategies that are tailored to the supply and demand characteristics of specific markets and are appropriate for an individual asset each designed to support the investor in meeting its specific risk/return objectives. Our objective is to match the right capital source to the appropriate risk-adjusted real estate investment.

Fundamental Approach

Our fundamental approach to investing is bottom-up and value-oriented, strengthened by our focus on off-market situations and our ability to provide creative solutions to complex situations. The firm scrutinizes such factors as industry structure and prospects, company positioning, valuation, and structural downside protection. Our clients range from pension funds, corporations, sovereign wealth funds and endowments, to foundations, insurance companies and high net worth money managers.

Investments

Value Added Investments

HI’s opportunistic investments includes acquisition and repositioning of under performing or undervalued class A or B properties which provide significant value creation opportunities. Value add services provided by HI, including product interrogation methodology, lease up strategies, improved management, capital infusion and/or the rebranding or redeveloping of the property.

Opportunistic Investments

HI also provides development opportunities in class A commercial or high-rise residential projects located in markets or submarkets appropriate for these respective property types. Successful investment returns are created by extensive market research, identification and acquisition of superior locations, securing land/development entitlements, hands-on approach to cost control and Harwood’s impressive track record of award-winning design and construction services.

Core Investments

Either through development and acquisition or negotiated acquisitions and sale-leasebacks, HI can source and deliver long term stable investment vehicles. The investment focus is on consistent reliable monthly cash flow with the potential for above average capital appreciation.

Investment Summary

Square feet Represented: 2.6 million sq.ft.

Real Estate Portfolio: 45+ Projects

Value of Pipeline Projects: $8 + billion stabilized asset value

As part of the global organization, all HI offices and investments benefit from:

Long- Term Track Record: HI has more than 30 years of experience in creating and successfully managing capital and real estate investments for numerous third party investors.
Vertically Integrated with Centralized Resources: A group of 200+season professionals based in the Dallas headquarters specialize in areas such as capital markets, corporate finance, construction, engineering, operations, leasing, marketing, human resources, property management, cash management, risk management, tax and internal audit.
International Financial Relationships: Provide access to a broad spectrum of buyers, sellers, and debt financing sources.
State-of-the-Art Building Technologies: Extensive knowledge of best practices are gained with multiple projects around the world.
Local Market Expertise: HI’s global platform is built from the ground up based on philosophy that real estate is essentially a local business. Local teams are fully integrated to provide a full range of real estate and management services.
Tenant Base: More than 100 tenants worldwide with several Fortune 500 companies.
Operating Partner Transparency
Strict Accounting Standards