Capital and Counties U.S.A. employs a highly selective investment strategy which dictates how it invests its capital and management resources. Capital and Counties U.S.A.’s real estate business is primarily focused on retail and mixed-use properties where retail is a significant component. Capital and Counties U.S.A. also acquires office buildings on an opportunistic basis. Capital and Counties U.S.A. targets major metropolitan markets throughout the West Coast. By combining the disciplines of astute institutional investing with financial and operational flexibility, Capital and Counties U.S.A. successfully mitigates and manages risk in order to achieve above-average risk-adjusted returns over the long term.

Capital and Counties U.S.A. is highly focused on acquiring properties where the application of its skills and knowledge will enhance both community value and shareholder returns. The investment approach is balanced and disciplined. Capital and Counties U.S.A. employs a streamlined decision-making process to move decisively on the best opportunities in the market. Regardless of the underlying investment thesis, Capital and Counties U.S.A. consistently employs its fundamental value-driven investment approach.

Through its parent company, Capital and Counties U.S.A. has enjoyed direct access to a significant pool of capital which has allowed Capital and Counties U.S.A. to be free from short-term financing limitations. Nearly all acquisitions have been purchased on an all-cash basis and financed later as needed. This approach provides the speed and flexibility needed to be competitive in today’s fast moving property environment.

Capital and Counties U.S.A. seeks un-leveraged returns in the range of 8% and 12% depending on perceived risks and using realistic assumptions (e.g. current market rents or rents that correlate favorably with reproduction costs and supply and demand parameters). There is no minimum in respect to initial cash returns. Capital and Counties U.S.A. typically targets investments from $50 million to $200 million and also has the ability to pursue larger transactions. In addition, Capital and Counties U.S.A. will pursue investments as small as $20 million for opportunities that are particularly compelling.

Capital and Counties U.S.A.’s long history and success have allowed Capital and Counties U.S.A. to build extensive contacts within the real estate industry and brokerage community. The firm enjoys a reputation of excellent business and financial judgment, and a well-organized, efficient management structure. Capital and Counties U.S.A.’s quality relationships and strong market presence provide Capital and Counties U.S.A. with continuous exposure to real estate transactions in the market and have helped facilitate Capital and Counties U.S.A.’s numerous successful acquisitions and dispositions.