Hazelview Investments, formerly Timbercreek Equities Corp, is a global alternative investment manager focused on real estate. We maximise returns for investors by employing a value-oriented investment philosophy combined with an active management style to iden-tify assets that will generate predictable cash flow over the long term. We have earned a reputation for providing conservatively managed, risk-averse investment opportunities for institutions, trusts and endowment funds, discretionary investment advisers and qualified individuals. Our core competency is our ability to accurately value cash-flowing assets based on a comprehensive analysis of the quality and sustainability of their current and future revenue streams. This fundamental knowledge of bricks-and-mortar investing is critical to identifying high-quality real estate investment opportunities. Hazelview’s global real estate investment platform currently man- ages over C$8.9bn* in both private and public real estate equity and debt in North America, Europe and Asia-Pacific. Investment struc- tures include core, value-add and opportunistic strategies that are offered through separate accounts and commingled private and pub-lic funds. Hazelview is headquartered in Toronto with offices in New York, Hamburg and Hong Kong.

* As of September 2020.

Sector forecasts

INDUSTRIAL: Logistics continues to show strong demand growth and lack of supply in the quality spaces. Recent reports show demand increasing exponentially over the last six months, with 40% stemming from e-commerce. Leasing and decision making by tenants has never been as quick as they are today. We believe rental growth is likely to accelerate as it is becoming increasingly more challenging to get new building approvals while central locations are a prime focus of tenants looking to deliver on time orders. Transportation costs are the major cost factor for tenants and higher rents a minor issue when compared to a secondary location.

OFFICE: The office sector is faced with the rise of the digital business culture and the answer to the question of how tenants are going to manage the physical versus digital exchange within their teams and therefore office use is as dynamic as ever. While it is likely that we will see more remote working globally there are also significant differences based on regional culture, corporate culture and business type. While all office assets are currently considered to be impacted, we are cognisant that opportunities will arise for some while others will be exponentially challenged by a lower demand. Developments in some cases are facing financial burdens due to the construction delays and as a result the amount of space coming to the market is likely to shrink. 

RESIDENTIAL: Housing markets in select countries and cities are experiencing strong fundamentals as a result of favourable supply and demand dynamics driven by immigration and regulation. Despite the headwinds presented by the COVID -19 pandemic, rental collection rates have remained resilient, particularly in the Canadian multi-family sector.

In the US, we remain more positive on the single-family and manufactured housing sectors relative to multi-family. Single-family rental trends are set to benefit from demographic shifts as millennials move into the household formation phase of life and desire more living space. These trends combined with the lack of affordability for most single-family homes should drive long-term demand for single family rentals. 

RETAIL: We remain cautious on the retail sector, favouring grocery-anchored defensive retailers over enclosed malls and more experiential retailers. The COVID -19 pandemic continues to exacerbate what were already weak fundamentals in the retail sector, with retailer bankruptcies expected to continue weighing on mall and strip centre operators.

OTHER: Public REITs offer investors the ability to invest in unique property types that are hard-to-do-so through the private market. We believe that in the near term, life sciences, education-focused facilities, cold-storage assets and casinos will offer attractive secular growth.

  • Life sciences are at the leading edge of technology and biology;
  • Education facilities offer attractive internal growth;
  • Cold storage assets play a critical role in the world’s supply food chain
  • Casinos are an emerging institutional property type offering attractive returns, supported by a steady customer base. 

Investment principles & strategy

Hazelview focuses on identifying and valuing real estate investment opportunities on a risk-adjusted basis. We source investment opportunities across the capital stack and access stable, inflation-hedged cash flow by investing in real estate both privately and publicly that own investment-grade real estate. Over the past 20 years we have built a full-service, active management platform with capabilities that stretch across the entire spectrum of real estate, investing privately and publicly in equity and debt. Our experienced team of real estate professionals are strategically located in key global markets including Canada, the United States, Europe and Asia, providing us with a deep understanding of local dynamics and enabling us to accurately and efficiently source, under-write and monitor global real estate investments.

Private Real Estate Investments: Hazelview offers exposure to multi-residential and commercial real estate through direct investments under core, value-add and opportunistic strategies. With over 20 years of real estate investment experience, we have a proven track record for executing; and our success in doing so is supported through a fully integrated investment, development and property management platform.

Public Real Estate Investments: Hazelview offers global real estate exposure through investments in public equity and debt securities. Our global securities platform allows us to create tailored solutions for investors seeking global real estate exposure and to provide investment strategies that can efficiently capitalise on mispricing in different global markets. We employ the same bottom-up approach we take to real estate investments when investing in public securities, which is to underwrite the assets directly, but primarily access the bricks-and-mortar through publicly listed real estate securities.

Four Quadrant Global Real Estate Partners (the Four Quadrant Fund): is specifically designed to combine Hazelview’s various investment strategies into one globally diversified integrated real estate investment solution. The Four Quadrant Fund offers access to real estate private equity investments, while providing income and liquidity. By investing both publicly and privately in real estate debt and equity, the Four Quadrant Fund is designed to minimise volatility, while maximizing the total return for investors.

Performance verification

Hazelview Securities Inc. (HSI), a subsidiary of Hazelview Investments, is the manager of Hazelview’s global real estate securities strategies. HSI claims compliance with the Global Investment Performance Standards (GIPS®). To receive a list of composite descriptions and/or presentation that complies with GIPS standards, contact HSI at info@hazelview.com.

COMPLIANCE STATEMENT

This information is provided for use by qualified accredited investors for informational purposes only. It is not intended for, and should not be distributed to, or relied upon by, the public. Information described herein reflects the views of Hazelview Securities Inc. as of the date here of. No representation or warranty is made concerning the accuracy of any information provided herein and there can be no guarantee that any forecast or opinion set out in these materials will be realized. This is not investment advice and may not be construed as investment, legal or tax advice, or as sales or marketing material for any financial product or service sponsored or provided by Hazelview Investments Inc. or any of its affiliates or agents.