Active asset management refers to proactively maintaining and enhancing the value of a property to ensure optimal performance, growth and returns. It’s effectively the engine behind our investment performance, and the difference between creating value vs riding the market (aka hoping).
Active asset management as a management style reflects our alignment with our co-investors’ objective – stable long-term income, paired with capital appreciation, as opposed to a focus on management fees – with asset performance being an incidental outcome or bonus. As co-investors in every fund ourselves, supporting optimal asset performance is looking after our investments as much as those of our clients.
What is active asset management?
There are many strategies that can be employed to increase long-term income and create value. Key activity areas include:
- Strategic leasing and tenant engagement
- Targeted capital upgrades
- Cost and income optimisation
- Keeping outgoings low for tenants
- Ongoing market re-evaluation
- Timely repositioning or divestment
Not all fund managers take an active role in asset management, preferring a ‘set and forget’ approach that relies on market conditions to create organic growth. We’d prefer our co-investors to enjoy a stress-free ‘set and forget’ investment. We therefore consistently seek to create upside and extract maximum value from our properties.
Why does it matter to investors?
Active asset management delivers tangible benefits for all stakeholders – creating high performing properties for both investors and tenants. For investors in particular, the advantages include:
- Stronger returns: Through improved occupancy, income growth, and smart cost control, we drive investment performance.
- Risk mitigation: By anticipating and responding quickly to market shifts, tenant needs and asset maintenance, we minimise risks and avoid unnecessary costs.
- Accountability and transparency: Our proactive, strategic approach enables us to provide regular insights, updates, and visibility into how each asset is being managed.
An embedded approach
Active asset management is embedded in everything we do – from day one.
Before we even purchase an asset, we’re evaluating its potential: Where can we improve income and create new income streams (e.g. monetising space through parking, storage, ATMs, solar)? Strengthen tenant mix? Unlock long-term upside?
After acquisition, we stay engaged – building strong tenant relationships, monitoring real-time performance, and adapting our strategy as needed. That might mean upgrading facilities, renegotiating leases, or activating latent development potential.
It’s a mindset of constant improvement, and one of the key reasons our investors trust us with repeat capital.
Current market conditions suggest it’s a strong time to enter the commercial property market, but that doesn’t mean taking a passive stance. Real value and long-term growth come from combining strong market fundamentals with sound acquisitions and active asset management.
