Our focus on private real assets is opportunistic and value add driven. we invest directly in assets "Propco" as well businesses operating in real assets "Opco"
AMD targets centrally-located properties, within Europe’s main "permanent" cities, where complication is favoured in order to increase upside potential.
AMD is a value add investor and as a result we believe in "creating" core/core + assets rather than buying them.
AMD uses a very systematic approach with internal ratings and scorecards that allows to have a consistent, reliable process in order to identify the most compelling investment opportunities, based on following guiding principles
is the one criterion on which we can have the least influence, after acquisition
We can, of course, target an area which will evolve into a more central location as the city develops but it is ultimately out of our control
As a result, buying centrally-located properties is a very key element to our ability to bring an asset to core or core +
•Extending the lease
•Restructuring the lease (guarantee, break option, etc.)
•Change from lease to HMA or franchise for hotels
The quality of the building or its layout are key factors in determining the core value of an asset:
The credit worthiness of the tenant or the use of an asset are key elements of increasing its value and a determining factor of the core nature:
Tenant value add:
•Change the tenant
•From multi-tenant to single-tenant
•Tenant investment in the property
Use Value add:
Change of use can improve the core aspect of an asset
Use can impact the location’s rating