– Location – EPG will only ever buy an asset if it is in an area it believes has growth potential and/or will be coveted in the future
– “An investor makes his money when he buys”. EPG spends much effort ensuring the price paid for an asset will ensure not only stronger than average returns to be generated over the Fund Term but will also provide protection in the event of a downturn.
– Adding Value – As active managers, EPG likes to acquire properties that would benefit from applied effort and expertise. Properties with tenants on weak leases, vacant accommodation, future development potential or simply ones that have been poorly managed are especially appealing.
– Reliable rental income – If a fully leased property can be bought for a reasonable price, a thorough understanding of the tenant and the lease they are bound by is essential if costly mistakes are to be avoided.
– Careful assessment of the potential risks to capital, in particular in relation to debt and cash requirements that may be necessary to attract or retain a tenant
– Research into the micro and macro- economic factors that might affect ownership of the asset