Rose Value-Add Office Retrofit Fund, L.P.
United States of America
Last updated 13 May 2020, by Impactyield.
Developed countries (203) / More developed regions (202) / More developed regions (North America, Asia & Oceania) (153) / United States of America (112)
The Rose Value-Add Office Retrofit Fund seeks to provide superior, risk-adjusted returns (12-15% net IRR) through the acquisition, green renovation, and repositioning of well-located Class B office buildings in major U.S. cities (the Boston to Washington D.C. corridor, Chicago, Denver, Los Angeles, Portland, the San Francisco Bay Area, and Seattle). The Fund will focus on acquiring assets in “smart-growth” locations, with easy access to public transit, housing, services and amenities. It will target under-managed assets with in-place vacancy and unlock value through strategic capital improvements, aggressive leasing and re-branding, and hands-on asset management. As part of the repositioning of each asset, the Fund’s Manager will use high-impact, low-cost green technologies that can increase energy efficiency and tenant appeal, yield competitive paybacks, and drive long-term appreciation.
The Fund leverages Jonathan Rose Companies’ 20+ year track record and proven expertise in green building and real estate investing, and benefits from long-term economic and demographic trends driving demand for downtown, transit-oriented space.
The Rose Value-Add Office Retrofit Fund seeks to provide superior, risk-adjusted returns (12-15% net IRR) through the acquisition, green renovation, and repositioning of well-located Class B office buildings in major U.S. cities (the Boston to Washington D.C. corridor, Chicago, Denver, Los Angeles, Portland, San Francisco, and Seattle).
The Fund will seek to acquire under-managed assets priced below replacement cost. It will target Class B properties with in-place vacancy and the potential for significant appreciation through well-executed capital and leasing programs. Additionally, the Fund will invest only in assets in “smart-growth” locations, with easy access to transit, housing, services and amenities, which can mitigate leasing and market risks. The Fund’s strategy will capitalize on the inherent benefits of Class B buildings, including these properties’ diverse, multi-tenant rent rolls; flexible, lower-cost space that is attractive to smaller businesses; and, often, historic architecture. Potential acquisitions will be diligently underwritten on conservative projections of future cash flow.
The Fund will seek to unlock value through strategic capital improvements, aggressive leasing and re-branding, and hands-on asset management. As part of the repositioning of each asset, the Fund’s Manager will use high-impact, low-cost green technologies that can increase energy efficiency and tenant appeal, yield competitive paybacks, and drive long-term appreciation.
of track record
the year funded
Jonathan Rose Companies
Headquarters location: United States of America
Other funds managed by this asset manager: Rose Green Affordable Housing Preservation Fund, L.P.
Key performance indicators
Asset manager: Jonathan Rose Companies
Product track record: Fund has 13 years of track record
Target IRR: 13.5%
Committed Capital: 15,000,000 USD (US Dollar)
Target return category: Risk-adjusted market-rate of return
Fund domicile: United States of America
Product status: Open - post first close
Inception year: 2010
Vintage year: 2011
Target region: Developed countries, More developed regions, More developed regions (North America, Asia & Oceania), United States of America
Target close date: 01/12/2011
Product term: 8
Assets under management: 150,000,000 USD (US Dollar)
Investment size: Min: 5,000,000; Max: 15,000,000; Avg: 9,000,000
Co-investment policy: LPs have priority, With LPs and non-LPs
Currency of investments: USD (US Dollar)
Currency for fund / product figures: USD (US Dollar)
Fund investments to date: 1
Fund investments to date exited or repaid: 0
Management fee: 2%
Carried interest: 20%
Hurdle rate: 9%%
GIIN Investors' Council Investment: Yes
Limited Partners / Investors: Current committed investors include foundations and family offices. An affiliate of the Calvert Foundation, a GIIN Investors' Council member, has approved an investment in the Fund.
Limited Partner / Investor Type: Endowments/Foundations, Family Office, Pension Funds, Other Institutional Investors
Phone number: 917.542.3605
If you wish to have your details removed from this database please email email@example.com
Director of Acquisitions
Current U.S. office stock is energy inefficient. Non-residential buildings consume 30% of U.S. total energy at a cost of $202 billion annually. An estimated 30% of the energy consumed by non-residential buildings is wasted.
Jonathan Rose Companies believes viable investment strategies to retrofit existing buildings are critical to combating climate change. Research indicates that 75-80% of America’s commercial building stock in 2050 already exists today and improving energy efficiency in existing buildings by only one percent would be as effective as making all new construction more than 50% more efficient.
The Rose Value-Add Office Retrofit Fund seeks to mitigate climate change and conserve natural resources through the green retrofit of existing Class B office buildings. The Fund will reduce environmental impacts in three main ways: (i) by investing only in “smart-growth” locations that reduce vehicle miles traveled; (ii) by improving the energy efficiency of portfolio properties through strategic green capital improvements; and (iii) by implementing green asset management that promulgates best practices and encourages tenant participation. The Fund’s Manager will seek LEED and Energy Star certification for Fund assets and track IRIS compatible indicators.
NCREIF Office Property Index