Our Investment Team has worldwide experience in the acquisition, disposition, financing and management of commercial real estate properties. We stand ready with a network of financial partners for acquisitions and development opportunities.
The Investment Team is focused on acquisitions of existing office building and industrial properties, and in some instances, development opportunities. We use a disciplined investment process to evaluate each transactions.
Investment Type: Private
Target Market: Upper Midwest (to Chicago) through South Central US (to Houston)
Property Type: Office and Industrial
Property Preferences: Value-added opportunities are preferred. Leasing risk, surplus property for development, and second or third tier cities are acceptable.
Minimum Investment: $2,000,000
Ideal Investment: $5,000,000 to $25,000,000
Cap Rate/Yield: Higher cap rate with more risk
Leverage: Varies, but typically 75%
Source of Funds: Pension and Private
WestLake Corporate Park
Little Rock, Arkansas
ISB Investors, LLC completed this transaction in March 1999. This deal represents the type of opportunity the Investment Team prefers.
In general, the unique traits of this property are as follows:
• An outstanding location in the growth corridor of a mid-sized city.
• Superior access compared to its competition.
• Beautiful campus setting for the six existing office buildings
• 33 Acres of excess land potentially doubling the square footage in the park.
Because Little Rock is a mid-sized market, most active institutional buyers were not willing to spend the time to underwrite the market. In addition, most buyers viewed the excess land as a negative since it did not create cash flow – yet we considered it a significant positive. Finally, our team was able to move very rapidly in evaluating this transaction and we gave the seller the accurate impression that we were serious about acquiring this development and could close the transaction on a timely basis.
At $30 Million, this transaction was one of the largest real estate transactions in recent Central Arkansas history. More significant was the financing package that made it possible. A consortium of 18 Arkansas community banks joined together to finance the transaction. This represented a new method of real estate financing in Arkansas as a way for smaller banks to compete with larger out-of-state financial institutions.