(3.30.17) Diversifying assets to fully capitalize on a healthy investment portfolio

steve Our job at OA Development is to identify market opportunities for our investors and understand the opportunities and risks they present. We have a long-standing involvement in the suburban office space environment and have accumulated more than 2.4 million square feet of space for our investors. These 19 assets include leases with more than 150 tenants with rich diversified credit backgrounds and from varied sectors.

Our goals are to not only identify each opportunity and work with its strengths and weaknesses but also to place the asset itself within an ecosystem of buildings – our portfolio of complementary assets. While we can, in general, underwrite risk and reward, we have to go about our work with a certain amount of humility that informs us that investing isn’t foolproof.

Sometimes miscalculations result in an asset that has appreciated more quickly than we projected. This has happened several times, and our investors have been rewarded nicely for venturing into the investment with us.

Of course, it can also happen that we inaccurately anticipate a fluctuation in the market place, and we lose a tenant we anticipated on retaining. Theses occurrences can take time to correct, and investors have to be patient to allow for the right circumstances to occur to correct matters economically.

At OA Development, we try our hardest to manage our investments and our investors to the mean, and this can be achieved by investing measured amounts into each OA Development offering.

We have some investments yielding mid-teen returns and some investments in less than stellar shape, but as a whole, the OA Development portfolio of 15 assets and more than 150 leases is offering investors a solid return every year; year in and year out.

Our advice to all of our investors is to spread out their risks evenly with the opportunities we bring to them. While we can do everything in our power to understand opportunities and measure their risks, investing isn’t an exact science. The best way to manage for imperfection is to diversify holdings.

At OA Development, it is our hope to bring our investors a diversified basket of offerings in the office space arena that addresses these needs through a portfolio of assets.

– Steve Berman, Founding Partner, OA Development, Inc.

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