Washington Business Journal - Office Building Sales In 2015
Direct Investments In Office Properties Leased To U.S. Government Agencies
Exclusive focus on class “A” office properties leased to and occupied by U.S. government agencies
- Highest tenant credit with the “full faith and credit” of the U.S. government (Article IV, Section 1 of the U.S. Constitution)
- Demand for space less sensitive to the volatility of economic cycles
- Government leased property portfolio has grown every year for the past 10 years
- Low correlation to other asset classes with high resiliency and protection against downside risk
- Standard firm 10–year leases with no lease break clauses resulting in security of income stream
- Contiguous tenancy with historically high lease renewal rate of over 90%
- Stabilized and inflation-adjusted targeted unleveraged income return of about 7.0% per annum with potential for capital appreciation
Genesis Group of Companies
- A highly specialized owner and manger who is responsible for US$400 million of equity invested since 1999
- Launched a US$180 million Unit Investment Trust Program by raising capital from retail and institutional investors
- Acquired US$123 million of office properties, hired management team and successfully launched a US$192 million public market IPO (NYSE: GPT) which was 11x oversubscribed
- Appointed as exclusive investment advisor to handle the acquisition, asset management and property management of U.S. GSA office properties by three large German institutional real estate investors:
- Ärzteversorgung Westfalen-Lippe, a real estate investment manager for Germany’s largest doctor pension fund (www.aevwl.de)
- KanAm Grund, one of the largest open-end real estate publicly traded funds focusing on U.S. Class “A” properties (www.kanam.de)
- LB Immo Invest GmbH, an investment company investing in U.S. Federal Government real estate assets (www.patrizia.ag)
- Fully-integrated in-house capability and experience in acquisitions, asset and property management, leasing and development
- Currently owns and manages over 80 U.S. government office properties in 28 states, individual value up to US $15 million
Accelerating investment pipeline
- Current access to approximately US$150 million of potential investment opportunities
- Growing pipeline in office properties reflecting growing office space demand by U.S. Federal Government agencies