Investment Strategy

Why Partner with Peakhill Equity Partners?

Peakhill Equity Partners’ Co-GP and priority equity investment platform offers distinct advantages to our developer partners that sets us apart from traditional real estate investors:

Peakhill has flexible capital, allowing us to invest earlier in the development process and to offer creative financial structures recognizing the unique complexities of each transaction. Our ability to offer flexible capital early in the development process provides key seed capital to get your development project off the ground.

Peakhill has flexible capital, allowing us to invest earlier in the development process and to offer creative financial structures recognizing the unique complexities of each transaction. Our ability to offer flexible capital early in the development process provides key seed capital to get your development project off the ground.

Peakhill Equity Partners unique advantages include

Flexible capital that recognizes the complexity and duration of urban development and revitalization projects

Partnerships with both large and middle-market developers with varying access to debt capital and institutional equity relationships and/or balance sheet

Partnerships with both large and middle-market developers with varying access to debt capital and institutional equity relationships and/or balance sheet

Emphasis on projects with positive environmental or social impact, including but not limited to affordable housing and environmentally sustainable construction features

Ability to do smaller deals than national real estate managers, avoiding competition from large institutions while generating relationships and deal flow from emerging entrepreneurs and developers

Deep experience investing and lending in major U.S. and Canadian markets.

A focus on downside protection, with special attention paid to risk management

Balance sheet (including ability to sign/co-sign guarantees)

In-house technologies and resources leveraged across debt and equity business lines (legal, finance, etc.)

Prepared to capitalize on recent trends that have been accelerated by COVID-19 (SFR, urban industrial, and other alternative real estate asset types), without focus on portfolio overhang

How we capitalize deals

For a hypothetical $100 million project with this form of capitalization, Peakhill would invest $5.33 million of GP equity, while the Development Partner would invest $2.67 million of GP equity. Peakhill’s investment reduces the up-front equity required from the developer partner and Peakhill would be able to provide its lending and limited partner relationships as well as credit enhancement through its balance sheet and liquidity to obtain best-in-class construction loan and LP equity terms. The Co-GP partners would then share in the enhanced economics of the GP position in the deal.

Peakhill is flexible in deal structures and is able to invest up to 80% of the required co-GP equity.

LP Equity and Co-GP Equity are split 80/20, respectively
Co-GP Equity split 66.7% / 33.3%between the Co-GP partners

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