Investment Approach

Strategy

Our strategy is to invest in properties with the greatest use potential.

McAlister Investment's goal is to generate superior risk-adjusted returns to its investors, while providing some protection from inflation. We believe the best way to achieve this goal is to use a "fund" format to execute investment strategies which provides our investors diversification in terms of property type, location and risk level. This approach spreads investor risk over multiple assets, and improves the return to the investor through  increased purchasing power and improved economies of scale.

In addition to the potential for attractive total returns, capital preservation is a key element of the investment strategy. Acquisitions will be unleveraged, and acquisition choices will be heavily weighted towards those opportunities with an obvious exit strategy and limited risk exposure.  McAlister Investment believes that the next several years will provide exceptional opportunities to invest in real estate properties and well secured notes. 

The company's strategy and format enable it to be prepared with available capital to move quickly and efficiently for the right transactions, especially those transactions where a seller, facing lender or other pressure, has to sell by a specific date.  Financial capability, transactional expertise, intensive due diligence processes,  and the ability to close quickly, will enable the Fund to "buy the right deal at the right price."

Due Diligence

At the heart of McAlister Investment's success is thorough due diligence. Every investment acquisition goes through an extraordinarily thorough due diligence program before purchase. The McAlister Investment team consisting of lawyers, engineers, appraisers, environmental experts and market analysts has worked together for many years to assure sound investment purchases.

A property is purchased only after identifying its potential use, the timing of sale and value to a user. Typical investment target is 17-25% gross IRR and/or a 2+x multiple.

Upon acquisition of an investment property, The McAlister Investment Team moves forward to improve its value and marketability. The Team secures government entitlements, utilities, road commitments and drainage permits. They mitigate wet lands and flood plain impact on future land development. The objective is to deliver the investment property with its greatest use potential for the developer and the minimum holding period and maximum price for investors.

Learn more about our Due Diligence Team.

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The Opportunity

The impairment of the capital markets, combined with the growth in certain real estate markets, is now creating unprecedented investment opportunities. Many of the best buying opportunities will be available only to those investors with funds immediately available. 

"cash is king" has never been more true than it is today.