Separate Account Capabilities
Over 50 years of separate account experience
Principal Real Estate Investors has considerable experience designing and implementing private real estate equity separate accounts. We have been
managing separate account assets since 1959 and were awarded our first non-affiliated separate account mandate in 1988. 1
A separate account enables us to tailor an investment to meet the specific needs and objectives of a client. Our goal for our separate account clients is to maximize their long-term, risk-adjusted returns, which we achieve through:
- The development of clear investment objectives and strategies with our clients
- State-of-the-art research
- Active management of each portfolio through tactical property and market selection
- Timely and disciplined execution of complex transactions
- Hands-on asset management
- Highly standardized financial controls, and
- Ongoing performance and risk management reviews by senior management
Our Private Equity Real Estate separate account clients
Real estate private equity assets (30 June 2017)
Foundations of our separate account success
Our ability to successfully tailor and manage a separate account to meet a client’s specific needs and objectives relies on the following attributes of our real estate platform:
- Research: Our research capabilities, which includes over 230 investment professionals covering 50 U.S. markets, are critical to our ability to assess relative value and to deliver on our clients’ investment goals.
- Transaction access: 57% of acquisitions since 2003 have been sourced by Principal in an off-market or limited bid manner, which provides greater value to investors.
- Value-add and development expertise: 289 value-add and development projects in the U.S. valued at $12.1 billion since 2001.
- Leasing skills: over 380 million square feet of leases signed across our portfolios since 2001.
- Responsible Property Investing: 83 assets, valued at $4.8 billion, that have been certified with the LEED or ENERGY STAR designation.
- Joint Ventures: 80+ existing joint venture partners.
Responsible property investing: our green expertise
As our clients’ fiduciary, our approach to responsible property investing (RPI) is built around meeting their goals. The majority of our clients are increasingly focused on the triple bottom line —Environmental, Social and Governance. Over the years, we have shown investors time and again that responsible investing not only has the potential to improve their bottom line long-term, but they can achieve that goal while protecting the environment and creating properties in which their employees or tenants will want to work and live.