Breakwater Capital Partners' investment strategy seeks to target middle market, distressed or transitional assets that require an infusion of capital and operational expertise to enhance value. Our investment objective is to create core-like real estate by buying the raw materials of broken or mismanaged assets below replacement cost and aggressively executing value-add strategies to create cash flow durability. We believe this strategy of focusing on cost basis for assets facing limited appetite from capital sources and actively executing a business plan to produce an asset that will be in high demand will deliver the best possible risk-adjusted return.
Breakwater invests in industrial, office, multifamily, retail, storage, parking and hospitality through joint venture partnership with local operators. Breakwater believes in partnering with local, experienced, real estate operators to achieve a competitive advantage in the marketplace. Breakwater invests across the value-add spectrum, including but not limited to: (i) ground-up development and redevelopment; building renovation; (ii) lease-up of vacant space; (iii) aggressive increase of rental rates in recovering markets; (iv) repurpose or conversion of use; and (v) reposition and turnaround. In addition, Breakwater will pursue the real estate of failing operating companies, debt-for-control of underlying real estate, and other higher alpha generating strategies. Breakwater will also target owners of real estate such as banks, special servicers, insurance companies, private equity companies, corporations, and municipalities.