An hour of planning saves ten hours of doing.
Why Whitestone is different.
Unlike investing in large Real Estate Funds or REITs, we will partner you with a personal investment specialist. They will walk you through a comprehensive proprietary investment questionnaire, so that you are only presented with deals that make sense for you and your investing goals. Risk is a very important factor which we weigh into our recommendation.
We believe good investments come with good personal relationships you can trust. All our staff undergo constant rigorous training and partake in advanced educational programs to consistently stay on-top of changes in the market.
Owing to constant growth and self-improvement, the only team better than WSC is the team that WSC will grow to be.
risk balanced portfolio
When evaluating investment opportunities, we thoroughly analyze going-in cash-flows, market dislocations and possible opportunities to generate value.
There are three main Real Estate investment avenues that Whitestone Capital pursues. All three avenues come with a different risk and return level.
Core investments, Opportunistic Investments and Value-add Investments.
These three classes are varying in their individual risk to reach their investment goal, while core investments are on the safe side with both risk and return limited while Value Add and Opportunistic are more centered on higher return with a less guaranteed success.
Asset class risk allocation
Institutional-grade “Core” investment properties are new or almost newly constructed Assets in highly desirable areas, always featuring the largest amenity and service package to Residents.
Thus, these Assets demand the highest rents.
We purchase the best-in-class buildings in highly sought-after, growing markets.
- Lowest amount of risk
- In-place operating Cash-flows that can be slightly increased over time
- Long holding periods
Value-add Investments usually have a small amount of deferred maintenance and a renovation standard that often doesn’t meet the desire of the current renters, thus demanding lower rents than properties that have been renovated already. Existing ownership often haven’t invested in making the Asset appealing to prospective residents.
- Higher amount of risk than Core, lower than Opportunistic
- Returns usually between 10%-18%
- Little operating Cash-flows; after stabilization, Cash-flows are good.
- Medium hold-period or refinance after improvements are completed
These properties exhibit the most amount of deferred maintenance, are often poorly managed, and contain a difficult, mostly non-paying tenant demographic that worsens the assets’ ability to perform.
Running an Asset like this would be impossible for a large Fund operating from out-of-state.
- Higher amount of risk than Value-add or Core.
Returns usually between 15%->25% - No operating Cash-flows
- Short hold period or refinance after improvements are completed
At Whitestone Capital, we are putting an emphasis on balancing projects while we rarely engage into core investments. Fitting our competence to determine profitable deals and untapped potentials, we are mostly investing in the value-add and opportunistic areas.
Core investments, as reasonable as they are, refer to projects which do not necessitate our abilities to gravely source a successful property, improve a neighborhood, institute attractive marketing and employ powerful property management.
Whitestone Capital’s approach is to minimize the higher risk of Value-Add and Opportunistic ventures and turning them into de-facto core investments, turning raw diamonds into what they truly deserve to be.
Acquisition
Our team of analysts is examining various offers in a short period of time, enabling us to close or decline a deal quicker than other contenders. Our data driven, holistic yet pragmatic approach is giving us the upper hand towards competing bidders.
Improvement
This is were Whitestone Capital's skills in property management, marketing concepts, renovating workforce, the creation of amenities, rent optimizing and much more come into play.
Exit
Disposing of a property with an optimized rent structure, sound renters and in a good condition enables us to produce outstanding exit prices.
WHY TRUSTING US IS EASY
During the last years, we have proven our vision time and again. We are happy to provide an insight into every project we accomplished since our foundation in 2017.
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We married the perfect locations with the most reasonable approach and execute our mission with some of the experienced people we ever met.
