Direct Property Investment

Definition: Direct property investment

= Investor acquires one or more properties in his or her own name (also known as an asset deal)

Specifics

The following types of investors are involved here:

  • Owner-occupiers
  • Private capital investors
  • Professional property investment companies (total solution providers, general contractors, property management companies and so on), which monitor construction output for end-investors such as insurance firms, pension funds and other institutional investors.

Property

“Direct investors” focus on the following transactions in their property investments:

  • Property transaction to acquire ownership
  • Property management to control performance
    • Real Estate Management
      • Level: investor portfolio
    • Portfolio Management
      • Level: property portfolio
      • Ensuing efficient use
        • Earnings growth
        • Risk reduction
      • Optimisation of property portfolio
        • Adjustment of property portfolio
        • Property mix
          • Location
          • Use
          • User
      • Refinancing and hedging strategies
    • Facility Management
      • Level: individual property
      • Technical operation
      • Letting / management
  • Financing Real Estate Investments
  • Hedging
    • Property value fluctuation
    • Property returns
    • Amortisation
    • Liquidity (insolvency risks)
    • Market and general conditions
Print / Share: