About: Our Investment Philosophy
The Landwin System is built on three principles:
- Never lose what you have
- Always outpace inflation
- You make money when you buy
Never Lose What You Have
At Landwin, our first priority has always been the preservation of our investor's capital. This doctrine governs every aspect of our property sourcing and evaluating procedures.
Once an investment opportunity is evaluated based on our pre-determined criteria, key data is input into Landwin's copyrighted pro-forma for a more detailed financial evaluation. Following the pro forma stage, each property is subjected to our 58-point due diligence checklist, to uncover potential problems or challenges.
As a result of our disciplined observation of this primary objective, Landwin has never lost one penny of our investors capital over our 28 years in business.
Always Outpace Inflation
Landwin strives to protect against inflation by acquiring stabilized real estate, with a consistent history of increasing rents.
Once we acquire a property, we not only manage the asset through our Landwin Management affiliate, we often strive to improve the property through renovation or expansion.
We hold on to real estate for as long as it is producing the expected returns to our investors. We will sell a property sooner if the market indicates a greater financial benefit through disposition.
In addition to outpacing inflation, Landwin has also been successful at deferring tax consequences from a sale through the use of a 1031 exchange to acquire a replacement property. In three decades, Landwin has never failed to successfully conduct a 1031 exchange when it benefits our investors.
You Make Money When You Buy
Landwin takes a conservative approach in its investment policy, focusing on core properties with a history of stability and net income to previous owners. Occasionally, we'll invest in a 'riskier' property, but only when we believe our years of expertise can address any issues and ultimately secure a higher return for our investors.
We concentrate on acquisitions of small to midsized properties ranging in cost from $3 million to $50 million. We will consider larger opportunities, most often through a joint venture with the property owner or another real estate investment firm, so as to limit the amount of equity we invest in any single property.
Typically, Landwin invests equity into any acquisition. We do not over-leverage real estate, which can compromise the investment in a challenging market.
While past performance cannot guarantee future results, we have found that by acquiring and managing select, quality real estate, the benefits to our investors, including an average 27% Internal Rate of Return over our first 20 years, are substantial.
We Invest When You Do
Landwin's principals invest their own funds in every investment we acquire. We do this because we believe in the properties we buy and the system we have established for determining their profit potential.