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How Can I Evaluate Private Real Estate Equity Investments?
"Independent due diligence is the process of conducting an independent, unbiased investigation of a real estate property or development project in order to evaluate its potential financial performance and risk."
Cynthia Aasen | Registered Dealing Representative
At Integrated Equities we work with experienced management teams, each with strong track records and specific investment strategies. We conduct independent due diligence and selection process for the third party offerings to verify the information before we make available to investors.
Independent due diligence is the process of conducting an independent, unbiased investigation of a real estate property or development project in order to evaluate its potential financial performance and risk. It is often performed by a third-party professional, such as a financial analyst, who is not involved in the transaction or development of the property and therefore can provide an unbiased assessment.
The purpose of independent due diligence is to verify the information provided by the property’s seller or developer, and to identify any potential risks or issues that may affect the property’s value or future performance.
The process can include several different steps, such as:
- Reviewing financial documents, such as proformas, rent rolls, and operating statements, to verify the financial performance of the property.
- Conducting physical inspections of the property to evaluate its condition and to identify any potential repairs or improvements that may be needed.
- Reviewing legal documents, such as leases, titles, and zoning documents, to ensure that the property is legally compliant and that there are no outstanding liens or legal issues.
- Evaluating the local market conditions, such as population demographics, economic trends, and supply and demand of similar properties in the area, to assess the property’s future potential performance.
- Reviewing plans and permits of the property
- Evaluating the property’s competitive advantages or disadvantages
- Reviewing the property’s historical performance, including occupancy and income history
Overall, independent due diligence can be a valuable tool in making informed decisions about real estate investments, developments, or acquisitions. It’s important to keep in mind that due diligence can be time-consuming and costly, and it is not a guarantee of a successful outcome, but it can help to minimize the risks involved in the transaction and to increase the chances of success.
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Licensed as a professional real estate agent for 25+ years, Cynthia’s expertise is diverse – real estate syndication, development, multi-family value-add and strata ownership. Dually registered as Associate Broker with eXp Realty Canada Inc. and Dealing Representative with Integrated Equities Inc. she is able to offer investors access both public and private real estate investments in North America’s leading markets.
Cynthia and her team act as advisors helping you make informed decisions. Since 2015 they have raised over $100 million in limited partnership equity representing $400 million in real estate transactions since inception in 2015. In addition, they sold over 200 individually titled investor properties, offering “true” turn-key solution for active real estate investors – “You invest, we’ll do the rest”.
