TerraCap Management, LLC is a commercial real estate investment manager focused on value-add real estate acquisitions in the Southern U.S. TerraCap considers thematic factors such as business formation, employment growth and population growth on a market-by-market basis, as most metros and submarkets have different economic-based industries and therefore move through their economic cycles differently. TerraCap makes moderate strategic overweighting or underweighting to markets, depending on the specific economic drivers influencing supply and demand. TerraCap intends to invest in assets so that no economic industry base will be allowed to dominate any property or the portfolio’s performance.
TerraCap has been in operation since 2008 with offices located in Estero, FL, Tampa, FL, and the Atlanta, GA metro area. TerraCap utilizes what it believes are “Institutional Best Practices” in underwriting, investment committee memorandums, quarterly business plans for each property, quarterly reports, and annual financial audits. With over 5,000,000 square feet of real estate acquired to date, TerraCap currently manages in excess of 4,000,000 square feet.
TerraCap’s value-oriented approach historically consists of purchasing properties below replacement cost with conservative leverage. This allows TerraCap to seek to capitalize on event oriented situations and other opportunities, as well as creating value and risk-adjusted returns that are positioned to outperform original targets, potentially creating both income and capital appreciation returns.
Through off-market and public fall-out transactions, TerraCap aims to seize investment opportunities that are generated by distressed, event oriented, or mismanaged situations. By acquiring properties below replacement costs, TerraCap intends to build a robust, defensive capital structure for investors, and retain tenants under favorable short and long-term conditions.
TerraCap’s principals aim to diversify the firm’s real estate portfolio across several asset classes including office, flex, multifamily residential, and hospitality. The firm and its partners invests alongside its institutional and high-net-worth clients to secure an alignment of interests in every transaction. Each member of TerraCap’s team is committed to fulfilling our responsibility to our clients.