Sveafastigheter's Investment Philosophy
Sveafastigheter's investment philosophy rests on four
pillars:
- Cash flow is the main determining factor of property value
- Sound underwriting does not speculate in market yield
shifts
- Asset management is a local business
- Alignment of interests creates value
The four pillars are reflected throughout
Sveafastigheter's operations and investments. Returns are achieved
by combining thorough cash flow based underwriting, cautious future
value growth assumptions and cash flow enhancing measures, rather
than relying on yield shifts or imprudent use of leverage
- Asset management seen as an integral part of the investment
-Sveafastigheter's network of local asset management partners
(LAMPs), operating close to the assets on a daily basis, secure
best-in-class asset management and provide invaluable deal
flow
- LAMPs required to co-invest substantial portions of their
personal net worth alongside Sveafastigheter('hurt money')
Management's experience in structuring complex
investments with multiple property, financial and legal issues is
key to successfully implementing Sveafastigheter'sinvestment
philosophy