Sourcing High-Quality Deals
Locating a high-caliber property with return characteristics that our investors demand is a difficult task.
In 2019 alone we were presented with over 450 deals which we religiously track. We keep detailed notes on all deals that we analyze even if we ultimately pass on the opportunity.
- We underwrote extensively 132 of those deals
- Submitted 8 offers
- Were awarded 1 deal (Weatherly Walk in Atlanta, GA)
As you can see, there is a 33% probability that a deal passes our initial investment criteria and a 2% probability that we will make an offer.
Our investment principles demand a margin of safety for our investors to preserve and protect capital.
Every week we are sourcing opportunities by building relationships with brokers, underwriting and touring deals, dinners, drinks with other operators, following up on deals that might have had trouble closing, meeting owners and building relationships with their teams —asset managers, analysts, acquisitions.
Our investors will be rewarded handsomely when we locate a high-quality deal, but finding a diamond in the rough takes time. In short, if there’s a deal that hits the market, we are prepared to act.
We are grateful and appreciate the confidence you have placed in Cloud Capital as sponsors and stewards of your capital. You, our investor-partners, are our most important competitive advantage.