The property is usually acquired in a special purpose vehicle (“SPV”), the shares of which may be held directly by the shareholders or through an appropriate structure.
The property purchase is financed through:
- senior debt from one of the major banks; and
- equity provided by the shareholders.
The SPV carries all of its own costs and liabilities directly as all lending is on a non-recourse basis secured only against the property or shares of the SPV.
Stonebridge International sources the deals and manages the assets through the acquisition, management and disposal stages providing cradle to grave support to the SPV.
There is full transparency through regular reporting.