Appealing real estate properties all over Germany
The clear strategic focus of our investment strategy is the short to medium term realisation of increased values and a consistent and quick sale (exit strategy) of properties in line with market conditions. The following three basic strategies form the basis of balanced yield and risk spreads in the portfolio whilst maximising net added value:
- Buy & Hold
The “Buy & Hold” investment strategy involves the lowest risk but also proportionally the lowest return. Rental properties with long leases are acquired in this category. The occupancy rate is maintained or further increased where possible. Rental incomes are maximised by the optimisation of cost, capital and tenant structures. By closely monitoring cyclical market conditions, properties are acquired during an economic downturn or recession and selectively sold during favourable times or as part of portfolio transactions.
- Repositioning
The repositioning of a property can therefore vary in scope. For properties which were acquired with an unusually high vacancy rate, this can be the profitable full occupancy of the vacant premises. In the case of other properties, such as those with a maintenance backlog, contractual or non-contractual rent increases can be introduced following a successful refurbishment as a result of investment and renovation measures. It is ensured that the sale will only take place when market conditions are favourable.
- Development Projects
This encompasses concepts relating to the design and development of building sites according to tenant demand, reorganising the type of use and/or structure of existing premises and/or the construction of new rental space. WGF AG operates predominately as a developer in the asset classes “residential property”, “office property”, “serviced apartments” and “economy hotel business”. In this segment the sale takes place following the implementation of these measures and the successful leasing of the property during a favourable market phase.
