what works and, occasionally, what doesn’t. While there is no set formula for success, we have
distilled our development philosophy down to these guiding principles:
Why San Francisco? It starts with a love of place but is solidly grounded in real estate fundamentals. The formula is quite simple: people follow jobs, and vice versa. With the center of gravity of the tech sector shifting north from the Silicon Valley and a growing pool of echo and baby boomers flocking to San Francisco, the demand for new housing is strong and shows no signs of slowing. Even with a healthy development pipeline, the production of new housing units over the next 30 years won’t be adequate to meet the demand of San Francisco’s ever growing population, making our SF-focus a fundamentally sound investment strategy over both the short and long term.
In a dynamic marketplace, it’s critical to be
flexible and nimble. As we pursue our core
investment strategy of acquiring, entitling and
developing new residential and mixed-use
communities on underutilized infill sites – the
“diamonds in the rough” that are indigenous to
the urban fabric of San Francisco – we have
the knowledge and experience to respond to
the specifics of each opportunity in order to
maximize value. With expertise in both
condominium and apartment development,
we are not limited to a single investment
strategy. And we also have the luxury of
taking on projects of various sizes, with the
resources to pursue larger projects and the
organizational flexibility to take on smaller
only because, and only when, they are created by everybody."
— Jane Jacobs
In a frenzied market, it’s easy to get caught up in the moment. While not afraid to be opportunistic and aggressive, we believe that a disciplined, data-driven approach to underwriting is the key to consistent, high-quality returns and long-term success. For every development opportunity we look at multiple exit strategies and sensitivity test the most critical assumptions. Our approach doesn’t eliminate the uncertainty or risk inherent in the process, but it empowers us to make careful, informed investment decisions.
Some developers view “the neighbors” as the
enemy, but we see them as an essential
partner in the development process. No one
understands the charms and challenges of a
neighborhood better than the individuals who
have chosen to call it home. Through a
community engagement process that is
proactive, collaborative and respectful, we
believe it’s possible to develop a strong
consensus around new development that
preserves the unique character of San
Francisco’s neighborhoods while at the same
time meeting the needs of the future.
— Simon Van Booy
The right partners make all the difference.
To get things done, it takes a team of talented
individuals with a common vision and shared
values. From the lead architect to the
apprentice carpenter and the equity partner
to the loan officer, everyone’s contributions
and efforts are important. We hold ourselves
to the highest standards and seek out partners
who share our commitment to excellence, hard
work and integrity.
Memorable buildings make a statement without trying too hard. They are contemporary yet contextual - contemplating the future, speaking to the present and respecting the past. They embrace innovation but not as a gimmick. Truly great architecture stands the test of time. That’s our commitment.
— Winston Churchill
Sustainable development is a commitment,
not a catchphrase. Rather than an after-thought, it’s an organizing principle that
informs every opportunity we pursue and
every decision we make. While we each have
a role to play as environmental stewards, we
feel a keen sense of responsibility as developers to minimize our impact on the local and
larger environment. It’s both a moral imperative and an economic opportunity.