Assets & Performance

Asset Allocation

Real estate has always been a valuable tool in asset allocation plans, helping reduce volatility and enhance returns through both income and capital-appreciation potential. The advantages of office, medical office and retail properties include:

Inflation hedge.

During times of inflation, real estate usually appreciates in value. Since leasing agreements generally include periodic increases in rental rates, investors can benefit from long-term protection against inflation.

Added protection.

When commercial properties include tenants who are diversified across multiple industries, investors are shielded from downturns in any particular industry.

Capital gains.

Like common stock, real estate investment property offers the potential for long-term capital gains at favorable tax rates.

Investment Performance

Our performance record from our realized investments has been exceptional. The internal rates of return and whole dollar profits realized by our investors compare very favorably to any other real estate investment vehicle. While great returns have been realized on most of our investments, along the way we have never lost a single dollar of investor capital. Our track record has remained consistent over a long period of time and various real estate cycles, speaking to our approach of creating risk-adjusted returns.

Performance figures from all our major investments are highlighted on the Transactions page — no omissions have been made because of poor results or modest returns. A narrative accompanies a few of our representative transactions.