I am often asked by investors to articulate my ‘philosophy’ of real estate investing. Tough question. My ideal deal is one where it is possible to buy brick and mortar assets at 60–70% of replacement cost. This usually occurs in the aftermath of a banking crisis or economic shock. This was the case in Florida homes in 2009 or Spanish office space in 2010. Another strategy is to ‘buy, fix and sell’. This was my rationale for East Kent homes as a proxy for King’s Cross, the biggest retail and office development complex in Britain since Canary Wharf and the Docklands in the Thatcher era. Now that towns like Ashford and Folkestone are linked to Kings Cross St. Pancreas by high speed link, rents will rise, bank mortgages will rise, commuter traffic and capital values will rise in East Kent.
Goldmines and landmines in the property market My latest thoughts on global property investment
The Macro View
