Investing with Green Valley
As an asset manager, we are distinguished by our focus on commercial income property and over 20 years of investing in and operating these high quality assets for ourselves and our clients. We provide a unique investment alternative where we as promoter actually have significant money invested into each property thus aligning our interests with our investors. We can add value through our history of solid investment decisions and strong operating expertise.
We are long-term, disciplined, value-oriented commercial income property investors. We carefully research and identify opportunities and actively manage the property.
Our goal is to achieve superior returns for our clients and partners by identifying commercial property investment opportunities on a value basis supported by sound fundamentals.
Principles of Investment
- Buy properties where we possess competitive advantages.
- Acquire properties on a value basis with a goal of maximizing return on capital.
- Develop properties that have sustainable cash flows to provide certainty, reduce risk and lower the cost of capital.
Measurement of Our Success
- Measure success over the long term by total return on capital.
- Search for profitability rather than growth, because growth does not automatically add value.
- Promote calculated risks, but evaluate returns with risk.
- Build our business based on honesty, integrity and determination.
- Attract and retain good quality people who will grow with us over the long term.
- Make sure our people think and act like owners in all their decisions.
- Ensure information and strategies are exchanged openly with all associates.
Why Income Property is the Asset Class of the Wealthy
Real Estate meaning specifically “Income Property” is a “Multi Dimensional Asset Class” which includes appreciation, cash flow, tax benefits and leverage. One more dimension of it which very few people understand but the sophisticated and wealthy people around the world understand is what I like to call “Return on Inflation”. Return on Inflation means that when your tenants pay your mortgage back over the years you are constantly paying it back in cheaper dollars because inflation destroys the value of stocks, bonds, savings and oddly enough equity in Real Estate but fortunately it also destroys the value of debt too.
Many economists believe inflation is coming. Countries throughout the world including United States and Canada continue to print money that is not backed to gold. This is the first downturn in the global economy that there is not one currency that is linked to gold or any precious metal. Money printing is inflationary. In the US it took 40 presidents to reach a $1 Trillion of debt. They just added $1 Trillion of debt in the last seven months. The US and other countries will continue to print and inflate their currencies so they can pay their debt back in cheaper dollars.
Most people follow the dollar index but because all these countries are printing money it is illusions priced against other illusions. A good measure to look at is the Dow Jones Priced to Gold. The Dow Jones and most things are seeing a contraction priced to gold. In 2000 it took over 40 ounces of gold to buy the Dow while today its around 8 ounces of gold. So when you look at the Dow Jones you are not really gaining any value; you are instead seeing the result of inflation. Income Properties with proper debt is a great way to hedge against inflation.