Alignment Real Estate is a private, entrepreneurial commercial real estate investment management company dedicated to identifying, underwriting and managing commercial real estate investments that generate attractive risk adjusted returns for it investors.
Alignment Real Estate was founded on the principal of ensuring an “alignment of interest” between the principals of ARE and ARE’s investors. Alignment Real Estate creates investment structures that ensure the interests of the investors are in “alignment” with the principals of ARE, and vice-versa.
From our perspective, Alignment of Interests describes an arrangement in which no party profits unless all parties are profiting. And further, the decisions of the manager are made solely with the best interest of the investors in mind.
The alignment of interest between the investors and the manager is achieved by limiting fee revenue paid to ARE, and by creating ownership structures that incentivize the manager to grow cash flow and maximize distributions to investors. Once the stated investor return targets are met, then and only then the principals of ARE share in the profits and value creation generated by ARE. Additionally, the principals of ARE invest capital in each deal on the same terms as other investors.