Over 20 years, we’ve amassed domain expertise in real estate and real estate-related investments and have specialized and excelled in the housing sector. We look for investment opportunities aligned with our real estate core competency that can be acquired at attractive prices and offer strong growth prospects. Using these guidelines as a compass, we are free to scour a broad investment landscape in order to identify the most attractive opportunities available. This is our “Go Anywhere” approach.
Receptivity to a broad range of investment opportunities allows us to diversify our portfolio organically. We ensure diversification by varying the asset classes, geographies, partners, and public vs. private investments we consider.
This “Go Anywhere” approach mitigates risk, protects capital, increases our probability of generating collective compounded returns, and constitutes a significant strategic advantage for Apparent.
Asset Classes
Our experience suggests that we’re best positioned to respond to market uncertainty when we remain open to all potential options in reasonably-priced asset classes.
Faced with a fluctuation in valuation – even in an asset class we consider to be our bread and butter – we can step back, patiently and thoughtfully look at the entire landscape, and locate the most attractive opportunities. For instance, when a significant price increase in multi-family housing made it a less attractive asset class, we explored other opportunities with strong growth prospects, discovered the self-storage niche, and ultimately added it to our portfolio.
Public vs Private
“Go Anywhere” investing includes both public and private options.
The majority of our private holdings are in the housing sector. However, when the price of privately-held multi-family housing assets has become too high to be attractive, turning to undervalued publicly-traded investments has proven to be a good defensive strategy. Buying these assets when they are low or undervalued gives us great upside potential when markets rebound.
Holdings in our public portfolio of real estate-related investments, acquired in line with this strategy, have performed better than the public marketplace for investments. We consider this proof of our strategy’s potential for Apparent investors.
Partnerships
Our long-term, trusted partnerships with proven histories of success often present us with access to opportunities, including “off the beaten path” investments. As long as these opportunities fall somewhere within our “Go Anywhere” guidelines, we explore them. We’re willing to appropriately expand the boundaries of “real estate-related” to take advantage of unique investments.
For example, a partner introduced us to a set of funds oriented toward reducing our national carbon footprint. Promising to deliver long-term compounding returns, this investment also protects our planet, so we see it as a real estate-related win-win. Taking advantage of such an opportunity requires a willingness and ability to broaden our normal investment parameters. At the same time, we remain true to our mission and mindful of keeping our portfolio allocation aligned with our core competency.
Geography
In our strategic view, “Go Anywhere” is a global approach to investing. Opportunities can take us anywhere in the country and anywhere in the world.
Ultimately, our patient approach and commitment to “Go Anywhere” – to seek out the most attractive opportunities – allows us to navigate challenges and make thoughtful, informed decisions on behalf of our investors, and allows us to thrive in any economic environment.