Investment Strategy Carleton Capital Funds pursue their investment objectives of entering into joint development arrangements under which a developer will build single tenant or possibly multi-tenant properties and the Company will provide development capital. The developer and the Company may be members of a sole purpose limited liability company that will own the property, or the Company may invest in a special purpose entity that itself holds diversified membership interests in entities that own properties.
Our funds primarily intend to co-invest with a developer in joint venture arrangements with experienced developers to build single-tenant properties with long-term net leases to creditworthy tenants in recession-resistant and demand-driven industries and sell them as quickly as possible after construction. The Fund and its partners may also invest in compelling multi-tenant net-lease developments, sale-leasebacks, as well as debt instruments that have equity-like returns and are collateralized by real property, leases, development agreements, and/or tax incentive agreements.
Diversified Properties Our funds anticipate investing in multiple projects and asset classes on a nationwide basis with multiple developers. Retail property types might include: automotive, financial, restaurant, pharmacy, gas/convenience, general merchandise, and grocery. Healthcare property types might include: senior living, memory care, dialysis clinics, plasma centers, urgent cares, hospitals, medical office, skilled nursing, and behavioral health. Industrial property types might include: distribution centers, data centers, aircraft hangars, and agricultural production facilities.
Fund Objectives Capital preservation. Potential downside protection by building below market value and by diversification of multiple projects (various industries, sub-sectors, tenants, and geographies). Periodic distributions. Paid from tenant rents and sales of projects. Capital appreciation. Upside potential by value creation; not dependent on rising market values