LaSalle Flashcards
Why LaSalle?
Comes down to my passion for impact as well as love for operational intimacy
Scale: one of the biggest in the world, relates back to my passion for impact. Avingstone loved doing mandates for some of the biggest brands in the world
Leveraging JLL research –> impact opportunity, seeing how LaSalle leverages JLL research to make the most micro changes. Enjoyed all the micro changes of a renovation.
NUMA deal shows both this.
describe the NUMA Deal
LaSalle Investment Management has launched a notable hospitality investment strategy through a €500 million pan-European partnership with NUMA Group.
The strategy focuses on acquiring properties from non-institutional owners, often smaller boutique hotels or unbranded owner-operated accommodations. Once acquired, NUMA Group applies its technology-driven operating model, which automates various aspects of the property management process. This includes optimizing guest check-ins, improving operational efficiency, and enhancing the overall guest experience through digital interfaces and automation.
The identified pipeline includes 15 properties across major city-centre locations, valued at over €450 million. These properties will be refurbished within 6-18 months, with a focus on integrating sustainable practices like hybrid ventilation and water recycling systems. The goal is to achieve high sustainability ratings, such as BREEAM certifications, while preparing the portfolio for long-term growth and exit strategies.
LaSalle and NUMA’s collaboration is aimed at capitalizing on the recovery of the hospitality market post-COVID-19, focusing on tourism-led markets and leisure travel. The partnership is structured to benefit from rising demand for flexible, tech-enabled short and long-stay accommodation options in urban centres.
Why RE?
RE investing is about having the biggest impact through investing and improving assets to be the best possible —> Kibaha —> hospitals curing thousands, markets making communities thrive —> made me interested in the scale of capital –> the scale of firms like LaSalle is exactly where I want to be, try and find value utilising expertise similar to the NUMA JV of $500 million looking to reposition hotels in UK cities —> same I experienced at Avington, family office investment became 7th in the world.
What is the business model of LaSalle Investment Management
LaSalle Investment Management’s business model is based on managing real estate investments for institutional clients. Here’s a simplified breakdown:
1. Investment Management
* LaSalle creates and manages investment funds focused on real estate, offering different strategies based on risk and return profiles:
○ Core (low risk, steady income)
○ Core Plus (moderate risk, growth and income)
○ Value-Add and Opportunistic (higher risk, aimed at growth by improving or redeveloping properties)
2. Asset Management
* They actively manage the properties they invest in, ensuring they are well-maintained, leased to quality tenants, and positioned for growth.
* LaSalle’s team also handles property upgrades and renovations to enhance value over time.
3. Global Reach with Local Expertise
* LaSalle operates worldwide (Americas, Europe, Asia-Pacific) but uses local teams to manage and understand the specifics of each market.
* This global presence allows them to diversify and optimize their portfolios by tapping into various markets and opportunities.
4. Leveraging Technology and Sustainability
* They focus on integrating sustainability measures (e.g., energy efficiency) into properties to enhance value and align with global ESG (Environmental, Social, Governance) standards.
* LaSalle also partners with tech firms (like NUMA) to optimize operations and guest experiences in hospitality properties.
5. Partnership with JLL
* As a subsidiary of JLL, LaSalle benefits from extensive resources, including research, technology, and client networks, but maintains operational independence to make strategic decisions suited to their investment goals.
