Diversifiable. Sustainable. Reliable
Real estate returns are supported by lease contracts which can generate a steady source of income. The quality of tenants and lease contract terms are essential performance factors.
Another feature of real estate affecting investment returns is the potential for capital appreciation.
Investment experts have shown that, over time, an investment strategy will produce the best risk-adjusted returns if it mirrors the diversity of the underlying economy. Portfolio strategists recommend that a multi-asset investment portfolio should represent the total spectrum of investment opportunities, which leads to a significant allocation for real estate. This can further be diversified by investing in different real estate markets.
Characteristics of real estate:
- Low performance correlation with other asset classes
- Stability of income based on contractual lease payments
- Attractive return profiles
- Superior liquidity and transparency in selected markets including Canada
- Competitive nominal returns
- Hedge against inflation (real estate is a physical asset, whereas monetary instruments lose value immediately as inflation rises)
- Geographic and product diversification
- Institutional scale market
A source of finance. A source of investment opportunity
At Bridgemer, we know that grass growing on the roof of a building eases the impact of heavy downpours on municipal sewers by slowing water runoff and reducing the amount of heat the roof reflects back into the city on hot summer days. We also know that the usual sources of capital do not necessarily place the appropriate valuation on "green" features that make buildings more hospitable to their environment and the people inside and outside. Bridgemer does. Our sources of capital are available to provide debt and equity finance for green buildings, whether a new construction or a renovation.
As an investor in real estate, we know that green design has financial advantages. Investment returns can benefit from reduced energy costs or improved revenues by creating an attractive workspace or retail shopping experience that uses natural daylight to boost business.
If you would like to join our program to invest in green buildings or if you have a green building project requiring financing, please contact Bridgemer at email@example.com to learn more about our program.