AECOM Capital Real Estate invests in ground-up development and value-add real estate joint venture opportunities with significant growth potential and/or strong long-term prospects for value creation.
AECOM Capital Real Estate, the real estate investment arm of AECOM, was formed in 2013 to invest in and develop real estate assets. As a part of AECOM, AECOM Capital Real Estate has the ability to leverage the expertise and value provided by AECOM’s fully integrated platform across design, engineering and construction services. AECOM Capital Real Estate benefits from steady, high quality and often proprietary deal flow sourced directly through AECOM’s affiliates as well as its extensive relationships. AECOM Capital Real Estate’s investment strategy, since its inception, has been to invest as a “Co-GP” alongside operating partners whose capabilities within specific asset classes and geographical markets have produced a history of success, and where AECOM Capital Real Estate can add value by providing investment capital, credit enhancement, and design, development and construction expertise. AECOM Capital Real Estate has a seasoned team of professionals, with offices in New York, Los Angeles and London.
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comprising current portfolio
AECOM Capital Real Estate Overview
AECOM Capital Real Estate’s primary investment objective is to invest in build-to-core Co-GP equity investment opportunities for development or value-add repositioning of high-quality commercial real estate assets. AECOM Capital Real Estate seeks to invest in large-scale projects situated on prime development or redevelopment sites that, once developed, can be stabilized into well-leased, high-income producing core investments. AECOM Capital Real Estate targets all commercial real estate asset classes and projects generally located in urban infill locations within the top ~25 U.S. markets. From its inception in 2013 through December 31, 2017, AECOM Capital Real Estate has committed over $240 million of capital across 18 investments totaling over $4 billion in capitalization and 11 million gross square feet of developed real estate spanning New York City, Jersey City, Washington, D.C., Houston, San Francisco, Los Angeles, San Diego, Denver, Nashville, Miami, and Manchester, U.K.
AECOM Capital brings several differentiating advantages to our partners:
- Ability to sign or co-sign lender required guarantees;
- Priority access to the expertise of the 87,000 employees at AECOM, an approximately $19 billion revenue engineering and construction company, with deep-sector expertise across all our sectors and geographies;
- Ability to execute transactions alongside AECOM or independently and to conduct an efficient investment process, including due diligence; and
- Independent investment team with a significant background in real estate investing, as well as development and construction management.
The term “Co-GP Equity”, sometimes known as “Co-Developer Equity”, refers to a part of the capital stack of a real estate project created when two general partners enter into a joint venture in order to co-develop and jointly lead the execution of a single real estate joint venture project (which may include multiple underlying properties). AECOM Capital Real Estate may provide any or all of the following assistance to an operating partner:
- Providing guarantees required by lenders, including the Completion Guarantee;
- Underwriting the real estate development;
- Helping to formulate the real estate development’s business plan;
- Structuring and securing financing for the real estate development;
- Assisting with the management of the development post-closing; and
- Executing on the realization or disposition of the developed real estate asset in order to harvest returns.