Complex and time-consuming problems often arise in core assets, serving as a deterrent for institutional investors who lack the expertise, focus and platform to solve these problems. Macfarlan has acquired “Creative Core” assets at meaningful discounts, creating added value by working with tenants to restructure leases.
Macfarlan acquires the highest quality core asset investments, especially single-tenant assets anchored by Fortune 100 corporations, which are typically limited to large-cap institutional investors seeking minimal unlevered yields.
Macfarlan is acquiring well-performing but out-of-favor assets such as flex, suburban and single-story office buildings in primary and secondary markets at an average discount of 20-30% of replacement cost and positioned to generate yields ranging from 9-11%.
Open, efficient floor plans which can be configured for a wide range of uses, low operational costs, and high parking ratios attract growth-oriented tenants to this asset class.