Drake Real Estate Partners

Last Thursday we co-hosted The Annual US Real Estate Meeting East, where our Co-Founder and CIO, David Cotterman, delivered an insightful presentation on Industrial Outdoor Storage. David highlighted the opportunities in this space and the sector’s strong risk adjusted return profile due to high unlevered returns and low-execution risk business plans. Industrial Outdoor Storage has been one of Drake’s high conviction playbooks for over 5 years, within its thematic investment approach.   We would like to extend a big thank you to Carmo Companies for organizing a strong event and for considering us. See you next year! Roy Carmo Salsinha John Sweeney, CFA Raj Sheth

Americans have long shared a singular obsession: having a better life than their parents. This insightful article by The Wall Street Journal delves into this issue, highlighting that when children grow up in a neighborhood where more adults have jobs, those children are better off economically as adults themselves. For an in-depth exploration of this topic, please see the article linked below: https://lnkd.in/eFWnUHyD 

The affordability crisis in the U.S. housing market has led politicians to take desperate measures in an effort to address the issue. A notable example is the current administration's controversial proposal for a nationwide rental rate cap, which could have significant repercussions on the real estate market, potentially resulting in supply shortages and lower quality standards. This insightful article by Judge Glock and @CityJournal delves into the serious consequences that this proposal could have on the U.S. housing market. https://lnkd.in/ejEqiRYk  

Drake BUILDS is the Firm’s holistic approach to sustainability. In addition to our partnership with 1% for the Planet through Drake BUILDS, we are proud of our ongoing commitment to reduce the impact of our operations on the environment. Continuing a 7-year partnership with the Bonneville Environmental Foundation (BEF), Drake is pleased to share its 2024 commitment: • Renewable Energy Certificates (“RECs”): Drake purchased RECs to match 100% of its office electricity usage for calendar year 2024. • Offsets: Drake offset 100% of its unavoidable emissions associated with travel and shipping emissions as well as office waste for calendar year 2024. • Water Restoration Certificates© (WRCs): Drake balanced 100% of its office water usage for calendar year 2024 by purchasing BEF Water Restoration Certificates©. Learn more about BEF here: BEF | Sustainability Products and Services (b-e-f.org)

Why it pays to invest small. This insightful article by Institutional Real Estate, Inc. analyzes how smaller assets have proven an edge when it comes to liquidity in a market that has become increasingly frustrated with the dearth of transaction volume. At Drake Real Estate Partners, we target “under the radar” value-add real estate investment opportunities in secondary markets with strong fundamentals across de U.S. https://lnkd.in/eGTDzZyP 

Drake pursues a thematic investment approach, executing repeatable playbooks to take advantage of the evolving opportunity set, which we believe is particularly compelling today. We invite you to learn more about Drake's most active playbooks at the link below: https://lnkd.in/eN92WgPg

Thank you to the 2024 GW Real Estate Trek attendees for joining Drake Real Estate Partners at our office last week. Co-Founder David Cotterman and Vice President (and GW alum) Maxwell Hengeveld led an insightful conversation around the founding of our firm, challenges of growing an investment management business, and our current investment strategies. We look forward to the opportunity to host again! Rob Valero The George Washington University School of Business https://lnkd.in/eyE8QQdn

Drake has invested in $2.5 billion of gross real estate assets since inception across property types - from traditional industrial and multifamily - to niche assets within these sectors, including IOS and manufactured housing. Learn more in the following video: https://lnkd.in/ebADKG8d 

Generative AI ("gen AI") could generate $110 - $180 billion in value for the real estate industry by enhancing operating models, strengthening customer experience, improving tenant retention, creating new revenue streams, and polishing asset selection. This interesting article by McKinsey & Company explains the actions that the industry’s players can use to turn industry data into a treasure with gen AI. https://lnkd.in/etUTXMF5

The rise of Artificial Intelligence (AI) is shaping real estate investing. This interesting article by Institutional Real Estate, Inc. explains how AI is driving value across most property types, while it poses potential risks to certain ones. https://lnkd.in/ezvuQxss