Legacy One is structured in such a way as to complete the acquisition of distressed properties and enable to offer strong return on investment (ROI) for project stakeholders.
From a pool of 4,000 projects, the Company will invest in 200-plus units, offering a highly diversified investment portfolio of apartments, predominantly in the upscale market.
Legacy One estimates that developers could be losing one (1) apartment every 12 months or in some cases 1 every 6 months in interest-payments to the bank.
Faced with little prospects of sale, and further indebtedness, developers have strong interest in financial relief to complete their projects, reinvest, or pay back lenders.
Great collaborative thinking has gone behind bringing this big idea to fruition. This starts with a calculated step-by-step acquisition process:
- First, deals are extensively researched, sourced, and cross-checked with experts.
- Worthy, compliant projects are price assessed, and categorized for investment suitability.
- Preliminary negotiations with project stakeholders lead to proposals for Investment Committee approval.
- Simultaneous with final negotiations, comprehensive 3rd party assisted due diligence follows, leading to final project proposals.
- Finally, Investment Committee approval is granted after extensive review and clearance by Compliance Officer and contracts are signed.
- Conduct a thorough market research
- Establish a preliminary list of potential targets
- Informally cross-check findings with stakeholders and market experts
Preliminary Due Diligence
- Verify projects' compliance with regulations
- Determine distinctive characteristics
- Assess pricing suitability
- Categorize projects
- Establish list of projects "Suitable for Investment
- Prepare a Property Brief for these projects and submit to Management Team
- Management Team will approve projects it will deem worth pursuing
- Assess with lending banks the projects' situations
- Initiate preliminary discussions with developers and other involved stakeholders
- Prepare a Preliminary Investment Proposal for projects that are selected and present to the Investment Committee for approval
Detailed Negotiations & Due Diligence
- Conduct comprehensive due diligence with the assistance of third-party experts where needed: strategic, marketing, engineering, regulatory, legal and financial
- Negotiate all the transactions' details with all involved stakeholders
- Prepare a Final Investment Proposal for selected projects
Investment Committee Approval & Acquisition
- Review of Final Investment Proposals by Investment Committee and discussions with the Management Team
- Obtain additional information if requested by Investment Committee
- Approval or Rejection by Investment Committee
- Submittal of approval to Compliance Officer for clearance
- Signing of acquisition contracts