Beliefs
Positions with edges. We would rather lose a client than bend a conclusion, and we would rather walk from a deal than underwrite it wrong.
We take one side of a transaction at a time. The engagement is exclusive, and the fee is not contingent on a sale, so our conclusions do not bend to whether the deal closes.
Our diligence conclusions are written to hold up in a financing and in a defense. We will tell you the building is worth less than you think, and the ground will not hold the project.
We start with the utility, the entitlement, and the ground, and we optimize only after the first principles hold. Optimization on a wrong foundation is a faster way to the wrong answer.
We bring the numbers and the ground truth in the same package. The marketing follows the survey, because the buyer who will close is the buyer who can underwrite.
We underwrite a lease and a sale the way we underwrite a development, because the cost basis a tenant or a buyer signs today governs the return for the term.