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AEW Fund closes at $342m.


AEW AEW Airborne Early Warning
AEW Air Expeditionary Wing
AEW Airborne Electronic Warfare
AEW Agr' Eau' Wat (Canadian agricultural consultant)
AEW Amckerns Explosion Wars (Half Life community) 
 Capital Management, L.E, has closed AEW Value Investors, L.E, a value-added real estate fund.

The fund, which is expected to be the first in a series, exceeded its target capitalization with a total of $342,550,000 in equity commitments. The fund's strategy is to add value through redevelopment, repositioning repositioning Laparoscopic surgery The changing of a Pt's position during a procedure to improve access or visualization of the operative field, which may be linked to complications, as it changes anatomic planes of operation. Cf Laparoscopic surgery. , re-leasing, recapitalization Recapitalization

Restructuring a company's debt and equity mixture often with the aim of making a company's capital structure more stable.

Notes:
Companies often want to diversify their debt-to-equity ratio to improve liquidity.
 and completion of single phase development in order to generate attractive risk-adjusted returns.

"We see value-added strategies as a way to unlock intrinsic value Intrinsic Value

1. The value of a company or an asset based on an underlying perception of the value.

2. For call options, this is the difference between the underlying stock's price and the strike price.
 in real estate investing Real estate investing involves the purchase of real estate for profit. Profits are accumulated slowly by renting out properties in a cashflow method, or are generally improved and resold for a capital gain. ," said Pamela J. Herbst, head of AEW's Direct Investments Group.

"AEW Value Investors fund offers institutional investors the best of both worlds; current income, as well as appreciation potential through improving the operating fundamentals of the fund's properties"

The fund will invest in the four major property sectors: industrial, retail, apartment and office, focusing on opportunities in urban multi-family, high-density neighborhood retail, industrial properties in top distribution markets, and high-density MSA (Metropolitan Service Area) An urban area with at least 50,000 people plus surrounding counties. There are 306 MSAs and 428 RSAs (rural service areas) in the U.S. MSAs and RSAs are used to allocate cellular licenses.  office.

It is likely to be underweighted in the office sector in the near term. The fund will also benefit from the use of proprietary economic diversification techniques developed by AEW Research to analyze property types and market conditions, which will aid in evaluating investment opportunities.

"While many investors today are concentrating on buying current income through the acquisition of fully stabilized properties, this fund will instead "manufacture" those income streams through active management strategies." said Maureen Joyce, Portfolio Manager of the AEW Value Investors fund.
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Article Details
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Publication:Real Estate Weekly
Article Type:Brief Article
Geographic Code:1USA
Date:Oct 27, 2004
Words:240
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