INVESTMENT PHILOSOPHY

Humility is the foundation of all successful investing

Humility is the foundation of all successful investing. We therefore practice a disciplined investment process that places a premium on consistent returns, preservation of capital and entrepreneurship.

 

Making Fewer & Better Decisions

Rather than attempt to predict the future, we believe in maintaining a posture from which to exploit the present. Markets fluctuate, and in doing so present opportunity for some, pain for others. We therefore follow these basic rules so that Mandeville Brothers always remains well-positioned to capture today’s best opportunities when they are presented:

 

Investment Performance over Asset-Gathering. We focus on the quality of our investments, and not on the growth in our assets under management. As a result, we will always make a relatively fewer number of investments—because the odds of success increase whenever the pressure to deliver a high volume of activity is eliminated.

 

Maintain Proper Risk Controls. We are concerned first with preservation of capital and, second, with the generation of a return on our capital. We will only invest when we find an opportunity to generate an above-average return with below average risk.

 

Deliver Consistent Results. Our limited partners deserve consistent performance regardless of the economic environment. We will demonstrate our skill, not through wildly gyrating returns, but through a steady accumulation of above-average returns from real estate assets that can outperform in any economic cycle. Because these opportunities are rare, we will usually have a transaction volume that is below those of our competitors.

 

Maintain a Countercyclical Mentality. We strive to always be moving in the opposite direction from the business cycle. Superior investors understand how the momentum of cycles can perpetuate itself into the next market correction. Our purpose, therefore, is to position ourselves so that we stand ready to execute whenever such moments arise. As market conditions evolve, we will shift focus among product types, geographies and strategies, while adopting an aggressive or moderate stance as needed. In this way we increase our odds of identifying and executing on opportunities ahead of the herd.

 

Obtain Superior Market Knowledge. Above-average returns in real estate investing demands superior knowledge of a local market’s peculiarities. As such, our process is entirely “bottom-up,” based first on our proprietary, opportunity-specific research into the product, market and most importantly, the quality and capabilities of the management team with whom we are collaborating. The opportunities we review from these groups create a proprietary mosaic of “street-level” information from which we can effectively gauge the risk-return trade off across all markets and product types.

 

Partner with Exceptional Management. Joint venture partnerships with the best real estate management teams provides the equity investor a sure-footed and repeatable process for successful investment. As such, excellent performance can best be obtained through relationships with the very best real estate operators – those with a well-established track record, deep market expertise and a talented team.