Anderson Pacific, LLC was formed to pursue the investment, planning, design, entitlement and development of community plans and mixed-use infill projects closely following principles intended to create livable and walkable communities. While this notion is sometimes discussed in different terms including “Smart Growth” and Sustainable Development, AndersonPacific, LLC’s (“APL”) core belief is that truly successful real estate projects, in both social and financial terms, are conceived and implemented without succumbing to fads. Instead they embrace the most fundamental and historically tested planning and real estate principles.
Over the past 50 years, all segments of real estate in the United States – office, retail, industrial, civic, and housing have largely been developed in a segregated and piece-meal manner, such that our country’s infrastructure, especially roadway transportation systems (i.e. traffic), are overwhelmed. As a result, communities and governments typically associate all development with the degradation of the quality of life thereby vigorously opposing it or taxing it to be un-viable. Unfortunately, this largely exacerbates the problems associated with quality of life issues. Rather than properly addressing poorly planned environments, cheaper, short lived, and lower density projects, which disproportionately use precious resources are encouraged. These problems, which are now considered “unsustainable”, associated with an increasing population and the credit crisis, have strongly contributed to the tremendous difficulties in real estate today.
Realizing that the first realistic step in breaking this cycle is to work with governments and related legislation, APL has been primarily focusing on entitlement and regulatory matters. To implement solutions APL acts as the managing executive for its own account for property owners with large, complex real estate projects that have inherent planning, entitlement and development challenges. In addition, APL works with various investment funds that are sensitive to and appreciate the above-market appreciation of the projects and real estate that follow Smart Growth principles.
As a result, Anderson Pacific, LLC is positioned as one of the premier Asset re-positioning and Value Creation firms in the nation. APL currently manages over $1 Billion in real estate and development, which are all mixed-use, transit-oriented, infill developments in key Downtown areas. APL’s projects in the development, planning and entitlement stages comprise the following asset classes:
- Residential: 2,000 units (rental & for-sale)
- Office: 250,000 sq.ft.
- Retail: 100,000 sq.ft.
- Flex: 100,000 sq.ft.
- Civic: 50,000 sq.ft.
- Open Space: 15 acres
- Transit: Ferry, Train, & Bus integration
- Redevelopment: 25 City blocks
- Sustainability: LEED
Prior to founding APL, the principals have either owned, developed, or held the management capacity over some of the Nation’s most prominent projects throughout the last 30 years, including:
- Library Square, Los Angeles, CA
- Playa Vista, Los Angeles, CA
- Potomac Yard, Alexandria, VA
- Solana, Dallas, TX
- Amerige Heights, Fullerton, CA
In total, the real estate projects for which the principals have been responsible comprise the following mix of development:
- Residential: 9,000 units
- Office: 23 million sq. ft.
- Retail: 1.5 million sq. ft.
- Hotel: 1,850 keys
- Land Planning: 5,600 acres
How companies use and invest in real estate to support business operations and investment goals has undergone fundamental change in recent years. Flexible and cost-efficient space is an essential requirement to support corporate performance, respond to dynamic business strategies and address the implications of evolving technology. Similarly, real estate investment strategies must match changing fundamentals in property and capital markets to assure success in meeting financial goals.
AndersonPacific, LLC and its team have been biding by these principles, along with conservative economics for decades and are therefore uniquely positioned to move its projects forward as well as help others do the same.
Real Estate Investment
AndersonPacific, LLC is engaged in creating real estate investment opportunities based on careful analysis of property and capital market opportunities. APL acquires and develops real estate assets, portfolios and companies – aggressively managing those investments, while prudently managing risk. The firm’s investment strategy reflects a broad view of changes taking place in real estate and capital markets. APL will invest strategically in both the acquisition and development phases of select markets in a seamless program that anticipates capital and property supply-demand cycles and fundamental trends. The firm balances factors shaped by capital availability and the supply and demand dynamics in specific property markets.
APL’s investment strategy reflects a broad view of the changes taking place in real estate and the capital markets. APL will invest in both the acquisition and development phases of select markets in a strategic program that anticipates fundamental trends while balancing expected capital and property supply-demand cycles.
For example, during periods such as today, when real estate prices are less than replacement costs, APL is targeting acquisitions land and buildings in select markets which can yield an attractive rate of return. In addition, APL targets acquisitions that can provide future development opportunities. When the real-estate cycle evolves and real estate prices or more than replacement costs, APL will have a supply of developable land in which to accommodate the market and yield attractive rates of return.
Finally, APL firmly believes in value creation through “contextual development.” That is the term we use to emphasize that the real value in real estate is in the “Place” and not simply in the project. A project that is not memorable as a “Place” cannot realize its real potential and will always be subject to quick deterioration in difficult times. The creation of “Place” is often subjective, but we view it is an expansion of the old real estate adage stressing location. Certainly it is beneficial to place a single project in the “right location.”
However, if a development is large enough, it can create its own place, and if it is relatively small, it can create the most value by offering missing components that would create place. APL can be the most successful at this because we can consult and develop across a broad range of uses including office, retail, commercial, residential, entertainment and civic.