KA Enterprises’ investment objective is to achieve a high risk-adjusted rate of return, computed net of asset management fees, that is superior to the leading property benchmark indices with a substantial component of the total return comprised of current cash flow distributions. KA looks to make pragmatic investment decisions.
KA intends to create value by targeting opportunities that provide:
- Investment in target markets that KA believes provide strong, sustainable characteristics,
- Investment in or development of high quality physical assets,
- Strategic locations that can provide a sustainable advantage,
- Investment in properties that will benefit significantly from active portfolio and asset management expertise,
- Investment in properties that present pricing inefficiencies as well as the potential for current income growth and capital preservation attributes. This strategy of creating the additional “value-added” return component underpins KA’s focus on thorough due diligence, disciplined underwriting, active asset management, risk management, research, acquisition and development and strategy formulation and implementation.
To identify potential real estate investment opportunities, KA constantly monitors its target markets. KA has successfully invested in Gas Stations, Retail Properties and High End Residential Estates across the United States.
KA chooses to do much of its portfolio asset and property management in-house and pays close attention to the structure and governance of each asset. KA leverages its assets at a level that reflects the underlying risk to the asset’s cash flow and or economics.
VALUE CREATION & REAL ESTATE ASSET SELECTION CRITERIA
KA intends to make investment in assets and markets with the following characteristics:
- Population, income and employment growth potential,
- Protected locations and high barriers to entry,
- Potential for value enhancement strategies,
- Potential for increase of current and projected cash flows for the property,
- Potential for capital appreciation of the property,
- Potential for rent and lease increases,
- Potential cost reduction opportunities,