With investment real estate distress on the horizon, Altus Equity Group and its investors are well positioned to capitalize with this new fund
UNITED STATES, February 9, 2024 /EINPresswire.com/ — Altus Equity Group Inc. is excited to announce the launch of its latest investment offering, the Altus Opportunity Fund (“Opportunity Fund”). This strategic fund is designed to empower investors to participate in the tremendous opportunities created by the current tight credit markets and general challenges in investment real estate.
The Altus Opportunity Fund will employ three distinct investment strategies, offering investors a diversified and dynamic commercial real estate and debt portfolio. These strategies consist of: 1) real estate debt investments – providing current investor yield; 2) opportunistic and distressed investments – facilitating the purchase or development of assets at highly favorable bases to maximize fund returns in a distressed market environment; and 3) General Partner (GP) investments – allowing investors to capitalize on larger gains through participation in GP promote structures uncommon in most private placement investments.
One of the standout features of the Opportunity Fund is the 12% preferred return, well above industry norms. This fund’s diverse investment strategy is anticipated to provide investors with a unique opportunity to take advantage of market conditions not seen in more than a decade.
Altus Equity Group Inc has a track record dating back to 2011. Since then, it has generated an impressive dollar weighted deal-level Internal Rate of Return (IRR) of 30.25% for its investors across more than 40 Special Purpose Entity (SPE) real estate projects, in addition to multiple fund structures . This performance has led to a remarkable 93% reinvestment rate among Altus’ investors.
The Opportunity Fund comes at a pivotal time as more than $1.3 trillion of investment real estate debt is set to mature within the next 24 months . Most of this expiring debt will result in new borrowings whose loan expense exceeds property income. Some will not qualify for refinancing due to increased interest rates and decreased valuations. The Opportunity Fund is created to acquire these assets at substantial discounts compared to peak pricing.
The Opportunity Fund aligns with the company’s purpose statement, “We Are Invested” by contributing 5% of its GP promote (exclusive of investor returns) to three charitable causes: Canine Companions, Junior Achievement USA, and one of the nation’s leading pediatric cancer research hospitals. This philanthropic initiative underscores Altus’ dedication to making a positive impact beyond the realm of real estate investment.
Altus Equity Group invites investors, both institutional and individual, to participate in the Altus Opportunity Fund and join the journey toward unlocking unprecedented value through the pending disconnect in the Investment Real Estate markets.
For additional information on the Altus Opportunity Fund, please visit https://www.altusequity.com/opportunity-fund/ for more details.
Rob Overstreet
Altus Equity Group
+1 760-550-1912
roverstreet@altusequity.com
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