Investment Criteria Pic

Arx Capital Group has three platforms of investment preference through which it acquires assets and grows its portfolio.  Each platform is geared to hone in on investments or assets whose characteristics fit into our core investment strategies.

  • Platform 1
    • The first platform involves properties that are undervalued, underperforming, or need to be repositioned.  Typically, these types of acquisitions have significant upside, and are commonly referred to as “value-added” projects.  The characteristics of assets that fit into this value-add strategy are as follows
      • Properties in need of stabilization, repositioning, or redevelopment
      • Properties that are underperforming in markets where near-term value can be added through superior property operations and aggressive leasing
      • Properties in supply-constrained markets where there is above-average projected job growth and a diversified economy
      • Properties in good locations that are no longer competitive due to poor maintenance or properties that are functionally obsolete and can be fixed or repositioned for alternate use
      • Debt instruments such as performing and non-performing mortgages or traditional assets that were acquired by investors or still held by lenders, as well as those with recent vintage CMBS and CDO loans that are scheduled to reset in the near term
      • Joint venture opportunities in existing properties that need to be recapitalized or refinanced
      • Properties that are currently, or will soon be, under status of pre-foreclosure, short-sale, foreclosure, REO (real estate owned), involved in bankruptcy proceedings, repossessed, or otherwise.
  • Platform 2
    • The second platform involves buying any type of asset from a seller with a greater than normal desire to close. These assets can be stabilized or value-added. Typical acquisitions in this program are: assets with expiring debt, partnership dissolutions, divesting of non-core assets, closing a fund, anchor vacating, liquidity issues, non-performing mortgages or other debt instruments, etc.  Arx will close all cash, assume the loan or creatively structure the transaction to meet the motivated seller’s needs.
  • Platform 3
    • The third platform encompasses all other opportunistic investments.  Under this platform, Arx will entertain acquiring stabilized assets that are located in “B+” locations and priced at adequate cap rates given current market conditions.  This includes long-term, credit-rated single or multi-tenant NNN leased assets.  This platform also caters to buyers or developers requiring equity to complete a transaction. Arx is willing to contribute equity to a qualified sponsor for either new acquisitions or new developments. Arx is willing to structure these transactions as a joint venture, mezzanine debt, hard money loan or any other method to get the transaction closed.