Investment Strategy

With the current dislocation in the residential real estate marketplace, many homebuilders and residential developers are struggling to manage their financial positions. To respond to these challenging conditions Scala has designed an investment program to acquire, develop or re-capitalize unique residential and mixed-use development projects in California.

Scala will partner with homebuilders and developers to provide equity investments in existing or planned for-sale residential and mixed-use development projects, while utilizing its development expertise to add significant value to these investments.

Location
We target strategic, infill locations with specific focus on supply constrained coastal and urban markets and other high-barrier-to-entry locations. Initially, we will target opportunities in Greater Los Angeles, Orange County, San Diego and the San Francisco Bay Area.

Property Type and Size
Our focus is exclusively on class “A” properties with unique and compelling attributes. Opportunities range in size from 100 residential units to over 1,000 units and several hundred square feet to over 1 million square feet of retail, office, R&D and other commercial uses. Additionally, Scala has experience with and is comfortable managing complex development projects.

Structure
Scala seeks to make equity investments in development projects. We carefully analyze each opportunity and creatively apply the appropriate capital and partnership structure to each investment.

Relationships
We strive to create an alignment of interests and build long-term relationships with our partners to source, diligence and close off-market opportunities in a time-efficient manner.