The National Federal Leasing Update provides a snapshot of the current Federal leasing landscape around…
Direct Investments In Office Properties Leased To U.S. Government Agencies
Exclusive focus on class “A” office properties leased to and occupied by U.S. government agencies
- Highest tenant credit with the “full faith and credit” of the U.S. government (Article IV, Section 1 of the U.S. Constitution)
- Demand for space less sensitive to the volatility of economic cycles
- Government leased property portfolio has grown every year for the past 10 years
- Low correlation to other asset classes with high resiliency and protection against downside risk
- Standard firm 10–year leases with no lease break clauses resulting in security of income stream
- Contiguous tenancy with historically high lease renewal rate of over 90%
- Stabilized and inflation-adjusted targeted unleveraged income return of about 7.0% per annum with potential for capital appreciation
Genesis Group of Companies
- A highly specialized owner and manger who is responsible for US$400 million of equity invested since 1999
- Launched a US$180 million Unit Investment Trust Program by raising capital from retail and institutional investors
- Acquired US$123 million of office properties, hired management team and successfully launched a US$192 million public market IPO (NYSE: GPT) which was 11x oversubscribed
- Appointed as exclusive investment advisor to handle the acquisition, asset management and property management of U.S. GSA office properties by three large German institutional real estate investors:
- Ärzteversorgung Westfalen-Lippe, a real estate investment manager for Germany’s largest doctor pension fund (www.aevwl.de)
- KanAm Grund, one of the largest open-end real estate publicly traded funds focusing on U.S. Class “A” properties (www.kanam.de)
- LB Immo Invest GmbH, an investment company investing in U.S. Federal Government real estate assets (www.patrizia.ag)
- Fully-integrated in-house capability and experience in acquisitions, asset and property management, leasing and development
- Currently owns and manages over 80 U.S. government office properties in 28 states, individual value up to US $15 million
Accelerating investment pipeline
- Current access to approximately US$150 million of potential investment opportunities
- Growing pipeline in office properties reflecting growing office space demand by U.S. Federal Government agencies