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Company & Portfolio Valuation

Definitive leaders in real estate
research for over 30 years


Providing insight into real estate values

We use Green Street’s proprietary net asset value (NAV) and warranted share price methodologies to value a variety of real estate entities. This quantitative and qualitative analysis identifies strengths and weaknesses of an entity or portfolio relative to the public REIT peer group. We also provide insight into valuing real estate as an asset class by comparing real estate's risk-adjusted returns to the broader equity and debt markets. Green Street's analysis usually goes far beyond the typical property appraisal to value the platform and the entity, not just the real estate.

We value a broad range of assets, portfolios, and entities, including

  • Non-traded REITs
  • Private REITs
  • Joint venture investments
  • Real estate platforms / operating companies
  • Direct investment vehicles

Company & Portfolio Valuation Case Study


The Client

Private owner of high quality portfolio

Property Sector: Industrial


company Size

Portfolio Size

75 employees

$1.5+ billion

Situation

The board of directors of a blue-chip private REIT sought an independent assessment of the company’s performance as a topic of discussion for its annual corporate strategy meeting. The objective was to get insight on the company's competitive position relative to the publicly-traded peer group to help assess its strategic direction and evaluate senior management. The board was particularly interested in gaining a third-party perspective of management’s relative effectiveness as it sought to implement a more thoughtful, systematic approach to valuation and executive compensation.

Our solution

Results

For over 10 years, Green Street has provided the board of directors with an annual, customized review of all aspects of the company’s performance including:

  • Property market update
  • Portfolio performance and valuation
  • Capital allocation track record
  • Share valuation
  • Positioning for future growth
  • Balance sheet strength

Using a comparable set of publicly-traded REIT peers for an in-depth comparison, Green Street offers an independent perspective on the company’s absolute and relative performance. Green Street’s report provides input to the company's strategic goals, helps set parameters for executive compensation goals, and offers insight into the company’s relative position in the industry while simultaneously helping the board meet its fiduciary responsibilities to shareholders.

Green Street has provided this comprehensive analysis on an annual basis for many years, offering a valuable and insightful time series that allows this private entity to compare its track record with that of its public peers. Management and the board view Green Street as an extension of their team, utilizing Green Street’s research and professionals to enhance the company’s processes and strategic initiatives. This blue-chip, private REIT, with a top-notch management team has been enormously successful over the past decade thanks to its focused, disciplined approach toward long-term value creation.