Manage-to-Core

It is difficult to include core properties in a portfolio, i.e. properties with high rental values, stable returns and low, predictable investment needs. However, that is no reason to give up on this asset class. On the contrary, our specialised experts will help you to identify opportunities on the real estate market and turn them into core properties.

 

HOW TO STRENGTHEN YOUR PROPERTY PORTFOLIO?

  • How do you access attractive properties in a market with few core properties?
  • Are you able to buy and develop high yielding properties on the secondary market? 
  • Are you well prepared for rehabilitation, for project developments that go far beyond cosmetic measures?
  • Are you able to effectively reposition recent properties and place them on the market?

You have to address the following points

1
Market and location
2
Investment costs
3
Redevelopment
4
Marketing and leasing
5
Fitout concept

BETTER CHANCES OF RETURNS WITH SECOND-TIER PROPERTIES

Core properties, properties with high rental values, stable returns and low investment requirements are particularly sought after. For this reason, investors rarely include them in their portfolio. Or if they do, the high purchase price reduces expectations of returns.

It is therefore worth looking at second-tier properties which, compared to core properties, are often a better choice. However, there is one condition: you should not be afraid of major development projects and you should be prepared to completely rethink existing properties in order to reposition them. The Drees & Sommer Real Estate team offers its experience to investors in their "Manage-to-Core" strategy, in order to transform properties with potential into prime properties. 

Thanks to our network of partners, we are able to cover all the issues that are important to you. For example, we analyse the market, the location, the surface area, the land potential and the profitability of the project. At the same time, we assess the investment costs, calculate the operating costs and examine the project from the point of view of building law. In the case of renovation projects, we develop concepts for room ventilation, energy consumption and technical building equipment. The latest addition to your portfolio is to become a smart building? We can help you with this, for example with the help of Building Information Modelling (BIM) during the construction phase. 

We believe that the user should be at the centre of everything. We also provide you with a space utilisation programme, concepts for use, marketing and rental concepts, interior design and workstation design.

Your benefits

  • You make decisions based on a feasibility study.
  • You turn second-tier assets into first-tier, high-return items.
  • You benefit from Drees & Sommer's expertise in all technical and financial aspects of "Manage-to-Core" and property repositioning.

WANT TO KNOW MORE ABOUT MANAGE-TO-CORE?

We are happy to answer your questions.

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