The core principles of that strategy are:

A Focus on Fundamental Value

In general, the Fund will focus on properties and/or projects with strong basic attributes, such as location, quality of construction, flexibility of space, adequacy of parking, depth of market and ability to resell. Such properties are likely to maintain their value during volatile market conditions and to attract favorable valuations upon disposition.

Cash Flow

Because the timing of exit in real estate assets is unpredictable, the strength and quality of potential cash flow to be generated from an investment are important in order to ensure that investors receive strong returns. This is particularly important in a period when real estate markets are in constant flux.

Taking Significant Equity Positions.

The Fund intends to purchase significant positions in development opportunities and participate actively in corporate governance. This practice will be particularly important in the current global environment. Accordingly, to the extent that investments are made in real estate companies rather than specific real estate assets, the Fund anticipates that it will sometimes take capital positions along with other co-investors that will provide such investment consortium as a whole with meaningful management rights and the ability to impact the acquired company’s strategic management and to improve the possibility for exit through sale to a strategic investor. The Fund will pursue an opportunistic strategy that will be global in scope, while mostly targeting investments in the residential sector.

A Focus on Risk Management and Multiple Exits

The Fund intends to pay particular attention to anticipating and structuring multiple exit strategies suitable for each investment, which include exits through the capital markets, bulk sales of multiple assets to strategic or financial investors and sale of assets on a standalone basis.