Successful joint venture relationships, with real estate operating partners are the cornerstone of Ratel’s business. We work with experienced operators who have solid financial track records, deep expertise in specific real estate asset classes and extensive marketplace knowledge. Our relationship starts at the corporate level. Generally, we invest in multiple properties with a single partner. Ratel’s role is that of a financial partner. Typically, we do not find, nor do we directly manage real estate assets.
Ratel provides private equity, to qualified sponsors, who require $2 – 8 million in third-party funds. We participate, as a non-managing equity provider, either solely or alongside an institutional equity provider. We look to our operating partners to source, renovate and manage the properties in which we jointly invest. In addition, our operating partners, with our input, will secure the financing required to purchase a property, oversee the value creation and ultimate disposition of an asset when its maximum value has been achieved. Ratel is nimble and does not have a formulaic equity offering. Rather, each investment is customized for the opportunity and its unique requirements. Similarly, Ratel recognizes that investments can encounter challenges and unpredicted market forces: instead of defaulting to documentation, Ratel’s intuition is, as a partner, to examine the changing circumstances and create a revised plan. Stated differently, Ratel takes the concept of partnership quite literally.
Ratel’s primary focus is multi-family assets, in supply constrained markets, typically on the West coast that offer value-creation potential. We will invest in both ground up and value-added apartment opportunities. Selectively, Ratel will provide equity for real estate strategies that fall outside of our primary focus.