Investment Strategy
JRG Capital Partners invests in debt and equity positions and considers both Core and Opportunistic deals. Core investments target IRRs of 10% to 20%, while Opportunistic investments look for 15% - 30%. Leverage varies from 50% to 75% and is commensurate with investment risk and debt market conditions. Hold periods range from one to seven years and deal size ranges from $5 million to $100 million.
As sponsor, JRG invests significant company equity in each deal. Any fees levied are reasonable and customary and fully disclosed in the underwriting of every deal. The offices of JRG Capital Partners are structured to keep administrative overhead to a minimum while maintaining access to industry experts through various third-party relationships.
Primary criteria for investment is urban in-fill assets in need of recapitalization and/or repositioning. Asset classes considered are multi-family, triple-net commercial, land, industrial, retail, mixed use and fractured condominium projects.
A competitive advantage for JRG Capital Partners exists in the Chicago market where the majority of its investments have been made. It is anticipated that the Chicago market will continue to be a fertile source for deals. Additional markets are explored if there is an opportunity to align with local operating partners or strategic investment partners who can bring a competitive advantage to an investment.