INVESTMENT STRATEGIES

SF FORE invests in three different types of properties which are all characterized by optimization or value potential that can be realized through active asset management.

  • Older buildings are often characterized by strict rental regulations, in accordance to the residential rental act in Denmark. There is often excellent optimization potential in older properties through modernization of the building and/or individual flats, cost optimization, or by converting attic spaces into new penthouse apartments.
  • Commonhold Apartments as a break up case where we sell off individual apartments within a portfolio. This type of investment is very attractive for the investor who has time on their side. The strategy is based on selling off commonhold apartments from a portfolio one at a time when vacant. We create a strategy for each apartment to ensure the highest possible return. For example, we assess feasibility on modernizing a flat before sale vs. capital expenditures, and we obtain 3 impartial valuations by local agents in order to obtain the maximum ROI for the investor.
  • New developments are often structured as a purchase of turn-key properties for future delivery when the project is complete. The properties are typically commonhold apartments and are often delivered fully let at takeover. Since the properties are new, the maintenance is very limited. The value optimization lies in re-letting, as and when tenants move-out, where we test market rent levels, and by optimizing operation costs.