Regional Real Estate Fund Structuring
- Abidjan, Côte d'Ivoire
- 2022
- REAL ESTATE
BUILD developed the investment and governance framework for a regional real estate fund, translating a broad acquisition ambition into defined underwriting and portfolio rules.
The challenge
The sponsor intended to pursue property opportunities across markets with different tenure systems, currencies and operating practices. The initial proposition combined income-producing assets and development exposure without clearly separating their risk profiles. Prospective capital partners needed a consistent explanation of asset selection, governance and liquidity considerations. The challenge was to create an investable framework without implying that regional diversification removed local execution or regulatory risks.
Our approach
BUILD worked with the sponsor and specialist advisers to define eligible assets, geographic exposure principles and investment approval responsibilities. Underwriting templates separated recurring property income from development assumptions and identified currency, title and operator risks. The team structured a portfolio reporting framework and outlined the information required for investment committee review. Fund materials distinguished commercial strategy from legal, tax and regulatory matters requiring professional confirmation.
The result
The sponsor received a coherent fund proposition supported by documented selection criteria and a repeatable investment review process. Discussions with prospective capital partners could focus on defined exposures rather than an undifferentiated regional opportunity. The governance framework clarified how acquisitions, exceptions and portfolio performance would be reviewed. It also established boundaries between investment promotion, asset underwriting and the specialist advice needed before implementation could proceed.
Outcomes
- Defined investment eligibility rules
- Repeatable underwriting framework
- Clear portfolio governance responsibilities