At EGC, we believe our cycle-tested team, access to real-time property market and corporate trends and disciplined approach to value creation and risk mitigation differentiate us from other investors.

Equity Growth Capital Real Estate provides investors access to its capabilities through several vehicles including private commingled funds in the U.S., Australia, Asia and Europe investing in equity and debt strategies.

EGC Real Estate activities are managed by dedicated equity and debt teams in the U.S, Australia, Asia and Europe, which leverage the following core capabilities across our platform:

Overview

Our real estate equity team has extensive geographic, sector and structuring experience with approximately 85 investment professionals across offices in the United States and Europe primarily investing in well-leased assets, assets with value creation opportunities, select developments and/or complex situations. As of September 30, 2023, our real estate equity team managed approximately $17.7 billion in assets under management across approximately 38 investments in complementary strategies to meet investor objectives across cycles.

Targeted Investments

Real Estate Equity Strategies

Equity Growth Capital’s Real Estate Equity strategy is to focus on cash flowing quality assets and de-risked developments with an opportunity to create value through repositioning, lease-up, re-tenanting, redevelopment, and/or complex recapitalizations. Our strategy targets primary property types located in liquid markets with diversified economies where we seek to deliver compelling, risk adjusted returns through a combination of asset selectivity and disciplined portfolio management.

Our Real Estate Group’s U.S. Equity implements real estate investment strategies that span the risk spectrum, with a footprint in multiple cities.

Our European Real Estate segment began in 2014. Across the U.S. and Europe, we believe our teams have the experience to identify property types with favorable risk adjusted returns in a given cycle, underwrite and execute these types of deals and then monetize investments delivering attractive risk-adjusted returns to investors.

Targeted Investments Characteristics

• Asset values of $10-$550 million
• Attractive basis with above-average supply/demand dynamics
• Solid credit fundamentals
• Strong market position with competitive economic advantage
• Experienced, properly-incentivized sponsorship team with demonstrated track record
• Appropriately structured and documented investment
• Return opportunity that compensates for perceived risk

Value Proposition

Maximize "Escape Velocity"

Potential Benefits for our Investors:

• Alignment of interests with our investors
• Consistent, compelling performance across real estate equity and debt strategies
• Dedicated and cycle-tested property professionals with local market experience and relationship networks
• Complementary strategies to meet investor objectives across cycles
• Synergistic EGC platform with a well-informed global view, access to relationships and operational benefits
• Stable and growing income and/or capital appreciation from investments
• Disciplined growth with a focus on long-term value creation and capital preservation

Potential Benefits for our Owner/Operators and Financial Sponsors:

• Long-term patient investor with permanent capital
• Local teams with deep industry relationships
• Flexible and creative structures
• Active in many markets environments
• Ability to grow capital base with client needs over time
• Execution speed with high certainty of closing
• Significant resources and operational assistance

EGC Industrial Management

We are a leading owner and operator of industrial real estate with regional offices located in eight key logistics markets throughout the U.S. and investments in major highway, rail, sea and air transportation. Our decentralized and vertically-integrated acquisitions, asset management, and development teams have decades of experience transacting in the high conviction industrial sector, with proprietary sourcing capabilities and local relationships.

Our dynamic platform enables us to execute strategically across the risk spectrum, seeking to identify attractive risk adjusted returns through market cycles.

National Operating Platform Supported by Decentralized, Vertically-Integrated Teams Across the Country

Our real estate debt team directly originates and invests in a wide range of self-originated financing opportunities for owners and operators of U.S. commercial real estate.

In addition to managing private funds, we make investments through a specialty finance company, EGC, primarily focused on directly originating, managing and servicing a diversified portfolio of commercial real estate ("CRE") debt-related investments.

Our Real Estate Debt team focuses on directly originating loans using its extensive national relationships with various owner-operators, sponsors and intermediaries of real estate properties. We seek to provide flexible financing across a potential borrower’s capital structure. While we focus on self-originated transactions, we will also selectively pursue secondary market acquisitions and club/syndicated transactions.

The following highlights our lending strategy:

• Pursue attractive risk-adjusted returns by investing in what we believe to be the most attractive position in a given capital structure
• Drive internal deal flow primarily through direct origination
• Seek to emphasize flexible transactions where our competitive advantages are strongest
• Actively manage portfolio through rated special servicer
• Lead transactions and remain an active investor
• Leverage the power of the EGC platform

We believe our principal orientation, flexibility and non-bureaucratic approach differentiate us from other debt capital providers in the commercial real estate middle market.

Real Estate Debt Strategies

Strong Markets. Disciplined Underwriting. Lead Investor Focus.

Our investment professionals are product and property type generalists who are able to invest in a range of commercial real estate assets – principally targeting properties (i) in strong markets, (ii) with solid competitive positioning, and (iii) controlled by experienced sponsorship teams executing value-add business plans. We primarily target major property types including industrial, multifamily, office, retail, lodging and senior-living properties and selectively consider hospitality, mixed-use, self-storage, single-tenant/owner-occupied, specialty use and student housing.

As a long-term and value-oriented investor, we seek to analyze each investment with a primary focus on minimizing downside risk, protecting invested principal and generating an appropriate risk-adjusted return.

Our investment strategy relies on intensive due diligence, structuring experience, disciplined underwriting and active portfolio management. We actively monitor our investments to ensure operational control and, in an effort to provide more value to our borrowers and their sponsors.

While we are primarily a direct lender to owners of commercial real estate, we also selectively consider third-party-led senior and subordinated debt financings, review portfolio purchases and opportunistically consider the purchase of distressed and discounted debt positions.

Potential Benefits for our Investors:

• Dedicated and cycle-tested investment professionals with approximately 27 years of investment experience on average
• Power of the EGC Platform: deep relationships, differentiated market intelligence, proprietary deal flow, in-house research
• Strategies focused on maximizing risk-adjusted returns through economic cycles
• Multi-asset class track record and experience (senior debt, subordinated debt, private equity)
• Disciplined growth with a focus on long-term value creation and capital preservation
• Alignment of interests between our investors and our partners

Potential Benefits for our Owner/Operators and Financial Sponsors:

• Long-term patient investor with permanent capital
• Flexible and creative structures
• Active in many market environments
• Ability to grow capital base with client needs over time
• Execution speed
• High certainty of closing
• Significant resources and operational assistance
• Deep industry relationships