Investing successfully across the property market and cycle depends on a disciplined investment process. That means getting to know both the market and the properties underlying each investment. LNR reduces risk by underwriting each property. That includes visiting the properties and normally, three comparable assets, and testing the valuation assumptions.

Proprietary assessment systems, including quantative analysis of physical properties are part of the LNR ‘due diligence machine’. So is risk-adjusted yield modelling on each bond class or loan to be purchased. The focus is always on long-term value creation over short-term wins. Executive management approves all our investments. LNR Partners Europe only invests when we can appoint LNR's subsidiary Hatfield Philips as special servicer or control the appointment of the special servicer – bringing transparency and open lines of communication to the deal.

With the deal done, we maintain our focus, setting up quarterly reviews and establishing close working relationships with primary servicers, property owners and loan originators. We also follow our own ‘shadow servicing’ procedures, doing everything we can to ensure investment performance. This is important because we believe that it aligns our interests with our investors.