Over the past few years, the Company has made investments in assets valued at over $500 million. The focus of the Company's acquisitions strategy is to purchase real estate at prices below replacement cost and to invest for long-term appreciation. Target acquisitions are analyzed based on current market conditions as well as projections utilizing solid real estate principals and assumptions. Fundamental asset value is usually the most scrutinized aspect of each acquisition. This analysis focuses on the existing rent structure and how it compares to the historical rent structure in the property’s submarket, and consequently, how both rent structures result in the present asset pricing in relation to existing replacement cost using historical land values.
The Company targets only multi-tenant, mid or high rise office buildings located throughout the Mid-Atlantic region of the country. Generally, the acquisition targets will be greater than $50 million and 250,000 rentable square feet, but these are general parameters and exceptions are made under the right circumstances. Rarely is an acquisition target not pursued because its size is perceived as being too large.
Acquisitions will continue to be a primary focus of the Company. Each purchase will always be based on fundamental real estate asset values. This, combined with the Company’s leasing, management and construction skills, provides an opportunity for the creation of long-term value. With that in mind, all department heads are always intimately involved with the sourcing and completion of each transaction. In fact, the Company believes that this cross-departmental involvement, with its expanded base of relationships, will optimize its exposure to desirable acquisition opportunities.
David B. Rubenstein is responsible and involved in all aspects of acquisitions.
"As a pension fund advisor, it gives me tremendous comfort to be investing in partnership with affiliates of The Rubenstein Company, L.P. The Company is incredibly diligent, professional and responsive to the needs of our clients."
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