Investment Strategy

We invest in projects requiring equity to fund their real estate projects. We target raw land, primarily focused in affordable market rate residential real estate projects, including apartments, single-family and masterplan communities.

With our experience and underwriting credit analytic capabilities we can add significant value with excellent risk adjusted returns. We leverage our extensive relationships, strong reputation and trust built with our partners and customers.

Creating Value Through Land Entitlement

We pursue value creation with the acquisition of unentitled land ready for development.

Our team has substantial experience and skill in the acquisition and entitling of residential land. Disciplined underwriting by the manager’s team, together with the skills and experience required to enhance land value are expected to maximize the returns for the fund. The information that follows is intended to provide an overview of the entitlement process and timelines associated with an investment in this real estate niche.

The general elements of the land entitlement process are:

  • Site Selection

  • Formulation and Due Diligence

  • Site Acquisition

  • Preliminary Design and Architecture

  • City/County Review and Approval

  • Sale to Developer

 

The diagram illustrates our strategy for value creation through land entitlements. ECM seeks to minimize the risk and maximize the upside by focusing on the entitlement segment of the cycle, where the most control and return potential exists.

Our Investment Asset Classes

A conceptual overview of the process for managing a property intended for residential development, from the time of acquisition until the asset is ready to be sold to a homebuilder. Our process is designed to extract the maximum value in the shortest period of time by entitling the project to the point where it has the highest value to residential homebuilders and developers.

Understanding the needs of a residential homebuilder or developer, as well as what their risk sensitivities are is a key ingredient to our successful strategy. We have learned through transactions with national and regional residential homebuilders and developers what they are looking for when they need to fill their pipeline. Additionally, we maintain an awareness of current market conditions through regular contact with homebuilders, developers, real estate brokers and other real estate professionals who service these markets.

There is however, no guarantee that these goals will be reached. Risk, upside, control and returns are subjective and will vary. Past performance is not a guarantee of future results.