Equastone sponsors a series of closed-end, real estate private equity funds. Equastone Real Estate Funds seek attractive, risk-adjusted returns for high net worth and institutional investors through a diversified portfolio of properties. Since inception, Equastone Real Estate Funds have invested in over $1 billion of commercial real estate throughout the United States.
Equastone Real Estate Funds typically acquire mispriced properties and invest in discounted mortgages from distressed sellers due to restructurings, bankruptcies, foreclosures and mismanagement. In addition, Equastone Real Estate Funds acquire underperforming properties where value can be added through redevelopment and repositioning, including fixing, leasing and improving operations.
To learn more about Equastone Funds, please click here.
In 2007, the financial crisis led investors and banks to re-price risk, resulting in more expensive and less available debt and equity. Presently, tight credit markets and an uncertain economy are causing severe stress to many owners of real estate and mortgages who are under pressure to sell at deeply discounted prices.
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Overleveraged owners may be unable to refinance maturing short-term loans due to reduced cash flow and tighter lender underwriting standards; |
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Developers and value-added property owners that need additional cash to improve, lease and operate properties may not be able to obtain additional capital due to tight credit markets; |
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Commercial banks and other financial institutions that have foreclosed on non-performing loans may be highly motivated to liquidate real-estate-owned (“REO”) portfolios at discounted prices; and |
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Investment banks and other financial institutions facing regulatory and financial pressure to improve their balance sheets may be forced to sell both performing and non-performing loans at discounted. |
Unlike most real estate fund sponsors, Equastone is both a sponsor and a real estate operator, which eliminates many of the duplicative processes, costs and profit sharing that apply when a fund sponsor is separate from the property operator.
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