Our team can look at situations where we can create far more significant upside through the application of our expertise. We will only invest and promote a deal with a downside scenario limited to a more modest return, and we avoid investments where there is a chance of capital erosion.
We think more laterally when assessing and underwriting.
Principles of our investment philisophy
Our development experience and entrepreneurial thinking allow us to dedicate time and resources to creating opportunities, and we rarely bid on open-market assets. The principals of OCIM are also the owners and co-investment partners and this provides true alignment. We operate on a policy of ‘first loss’ on our investment capital.
All of our deals are underwritten at spot value and on conservative inputs. We do not present base cases that rely on rental growth or yield compression to hit our returns. Although this may limit the number of deals we progress, it preserves the integrity of our underwriting.
Fundamentals driven approach
We select our markets based on strong underlying macroeconomic indicators, where fundamental demand and market dynamics indicate a disconnect between demand and supply or mispricing is evident.
We use leverage conservatively, rarely exceeding 65% LTV, ensuring we can drive investor returns whilst limiting our exposure to exogenous financing cost shocks.
Benefits of the OCIM model
Underwriting based on conservative, sensible spot assumptions. Our base case returns are never reliant on market metrics moving in our favour.
Deal flow and unique footprint
Our strong deal flow across our unique global footprint means allows us to avoid concentration risk as well as pivot responsively to rapidly changing market dynamics.
Investors pick only specific deals that meet their risk and reward/ROI parameters, providing full control. No commitments are required.
Co-investment & alignment
We are always a significant co-investor in each investment opportunity we present. We believe this is the only way to create true alignment.
Proven track record
Alongside our sister company, Osborne+Co we have a proven track of successfully identifying, underwriting and delivering strong, fundamentals-linked returns and solid downside protection.