StarPoint’s Commercial Division focuses on the acquisition, development and re-development of retail and office properties. Our portfolio currently comprises properties representing over 2 million square feet of retail and office projects regionally throughout the United States.
Our firm’s expertise and niche is acquiring under-valued and mismanaged assets and dramatically increasing the value of these properties through development, repositioning, strategic leasing, rehabilitation and professional management.
Our deep tenant relationships coupled with our detailed market research enables us to have a thorough understanding of tenants’ needs and expectations. By leveraging this information together with our in-house construction capabilities we are able to deliver functional, well positioned and professionally managed centers to our tenants in an efficient and cost effective manner, while simultaneously generating the highest returns for our investors.
StarPoint Properties employs a collaborative, multi-disciplined approach to investment execution. Our investment philosophy has been shaped over multiple market cycles, as we maintain an acute awareness of each asset class’ vulnerabilities and limitations during periods of slow growth or adverse conditions, as well as its potential under improving economic conditions. StarPoint’s proven investment philosophy and process is based on three key principles: focus, discipline and value creation.
- Product – Focus on specific product that allows us to minimize inherent risks in commercial leasing and market maturity while we leverage our experience and core competencies to make sure we execute at a high level.
- Markets – Focus on strategic markets, and change when necessary, which meet the investment criteria and show the proper fundamentals that can deliver results.
- Discipline – We use industry-leading and proprietary systems to evaluate opportunities, typically analyzing several hundred deals before selecting one to purchase. We believe real estate to be a cyclical business requiring proper cycle theory and methodologies to mitigate risk and enhance long-term yields.
- Value Creation – The creation of value is a multi-faceted and continuous process. Sophistication in the following areas are a tenet to the success of the business: operations, investment strategy, risk management, deep networks, construction execution, financial analysis, and information technology.
- Using our tenant-centric platform, develop meaningful relationships with key national and/or regional credit retail tenants. From these relationship we become a strategic partner to the retailer and understand their growth needs. This enables StarPoint to target specific sites or evaluate sites for ground-up development or repositioning of existing properties and substantially mitigate lease up and market risk.
- Identify existing value-add retail shopping centers to create opportunities through renovation or repositioning efforts.
- Land acquisitions for ground up development opportunities ranging from single-tenant build-to-suits to institutional-quality anchored neighborhood shopping centers.
- Arbitrage opportunities via NNN leased portfolio acquisitions.
- Opportunistic acquisitions of retail and office properties.
- Property Type: Anchored/Unanchored Retail Centers, Urban Retail, Mixed Use, Office, Single Tenant NNN.
- Asset Class: A+ to C-
- Purchase Price: $5m – $100m
- Markets: California, Portland, Seattle, Denver, Salt Lake City, Dallas, Austin and various other MSAs on a case by case basis.
- Return Profile: Value-add, opportunistic
- Source of Funds: Internal, Private capital, and Institutional Equity.
Updated Historical Performance Figures Coming Soon!
The Roxbury – Beverly Hills, CA
- Acquisition Price: $44,522,000
- Square Feet: 110,586
- Current Valuation: $110,000,000
- Value Creation: $65,000,000
StarPoint acquired a 101,586 sq ft office building in the Beverly Hills Golden Triangle at 75% occupancy, for approximately $44,522,000. Identifying deficiencies in the previous owner’s operations of the asset, StarPoint quickly renovated and upgraded common areas and amenities to a true Class A asset. Through this renovation and rebranding effort StarPoint was able to maximize income both by increasing rents from office tenants and maximizing Medical use in the building, growing the NOI by 75%. Today the property is 95% occupied with a value exceeding $100,000,000.
StarPoint Towers – Fresno, CA
- Acquisition Price: $4,500,000
- Square Feet: 152,000
- Disposition Price: $13,750,000
- Hold Period: 47 Months
- Levered Project Level IRR: 26.98%
StarPoint purchased the 152,000 square foot 45% occupied foreclosed office asset in Fresno from the lender for $4,500,000. After substantial renovations and a rebranding effort, the asset’s occupancy was increased to 75% with a 300% increase in NOI. The asset was sold for $13,800,000, with an IRR of 26.98%.
Rite Aid – Glendale, CA
- Acquisition Price: $6,050,000
- Square Feet: 52,000 sqft of land
- Construction Costs: $3,200,000
- Disposition Price: $14,100,000
- Hold Period: 15 Months
- Levered Project Level IRR: 64.97%
StarPoint purchased a vacant Marie Calendars restaurant pad sitting on 52,000 square feet of land in Glendale, California. StarPoint’s management team quickly analyzed the best use for this land given city requirements and neighborhood needs, and thus signed a 20 year lease with Rite Aid for a build-to-suit site. Within 15 months time StarPoint’s management team was able to acquire all city permits, develop the turn-key site, and deliver the building to Tenant. The property sold in July of 2016 at 64.97% IRR.
McDonald’s Hawthorne, CA
- Acquisition Price: $1,700,000
- Square Feet: 33,000 sqft of land
- Disposition Price: $3,600,000
- Hold Period: 13 Months
- Levered Project Level IRR: 143%
StarPoint acquired an approximate 33,000 sq ft undeveloped land, after having identified quick service restaurant as the best use of this land. StarPoint was able to negotiate a lease with McDonald’s, get the proper entitlements for the retail and drive-thru use, have the property developed all within 1 year of the acquisition date. The asset returned a 143% IRR.
ALL OFFERINGS HAVE BEEN SOLD OUT AND NO OTHER OFFERINGS ARE CURRENTLY AVAILABLE!
To receive exclusive updates on upcoming offerings, please subscribe to our Investor Mailing List below.