MSM Equities limits our activities to areas where
we have proper knowledge of risk and reward.
In partnership with our trusted broker network, we access and evaluate thousands of deals annually. Ultimately, less than 2% matches all our exacting investment criteria. Rather than jump into deals based on building type or class, we cherry-pick each property for its ability to offer maximum returns at the level of security we demand from an MSM asset.
Our extensive due diligence program uncovers each property’s true physical, environmental, legal, and fiscal standing. MSM analysts study the deal’s financials, tenants’ business health and creditworthiness, and the market’s 20-, 30-, and 50-year outlook. If we find even a tiny white lie, or a risk we don’t feel 100% confident to manage, we simply walk away.
By managing every aspect of the transaction process in house, we ensure the final costs and timelines match our original schedules. Transactions are led by veteran managers who report directly to senior leadership, and own the project from acquisition planning to lease negotiations to contractor management to code approvals to performance monitoring.
As our name suggests, MSM Equities believes in a healthy equity ratio, generally aiming for 30%. One unique feature of our deal structure is to split the total equity into fewer than 20 equal shares, each with an equal voting right. So while MSM principals invest their own money in every single deal, their voting power remains limited to their share amount.
When it comes to caring for our investors’ properties, no detail is too small. From basic maintenance to regular repairs, from rent collection to expense management—we insist on doing the little things in house so we stay in control of the bigger things as well. Because in our book, we see no benefit to shifting any part of our responsibility onto a third party.
In addition to overseeing performance from the day we invest through the day we exit (“from acquisition to disposition”), we see tenant relations as a key driver in maximizing value and returns. Our legendary, high-touch relationship with tenants creates leasing loyalty and virtually guaranteed renewals at rates unseen in the industry.