Overview

Our investment strategies are designed to exploit pockets of inefficiency, distress, illiquidity and structural complexity in the municipal and public purpose markets. With a total return orientation, we opportunistically invest across all market cycles in order to consistently deliver value to our investors.

Fundamental Partners

Fundamental Partners (“FP”) is an opportunistic private investment strategy focused on special situations in the municipal market and public purpose assets. By targeting cash-flowing, asset-based investments, the strategy seeks to provide investors with downside protection, long-term capital appreciation and current income. Portfolio positions are often essential to the community and include affordable and workforce housing, senior care or other healthcare, infrastructure (including community redevelopment), alternative energy and hospitality.

FP’s investments take many forms, including distressed municipal debt, controlling interests in real assets and direct lending to other bespoke specialty finance transactions. On an opportunistic basis, FP also seeks to acquire minority interests in municipal securities that are mispriced due to technical dislocations or idiosyncratic factors.

Investment Objectives

  • Opportunistically sourcing differentiated investments that are often not available to the broader market.
  • Improving, rehabilitating, and repositioning assets and/or businesses to achieve long-term capital appreciation, including replacing management, making capital improvements, renegotiating contracts, restructuring debt, and improving transparency to the market (i.e. simplifying the capital structure of an asset post acquisition).
  • Focusing on protection of capital and limitation of downside risk, with careful consideration given to asset/business fundamentals, project execution, investment structure, and the current and future economic environment.
  • Structuring investments to generate a current yield, providing consistent cash flow streams.

Strategies & Sectors

Strategies

  • Control-Oriented
    Debt/Real Assets
  • Direct Lending &
    Specialty Finance
  • Credit/
    Opportunistic

Sectors

  • Senior Care/
    Healthcare
  • Affordable, Workforce &
    Student Housing
  • Infrastructure/
    Alternative Energy
  • Other
    Sectors

Sample Investments 2

  • U.S. Multifamily Housing Portfolio

    Programmatic acquisition of underperforming affordable/workforce housing assets that are often encumbered by municipal or other structural complexities

  • Chicago Senior Care

    Revitalization of distressed senior care facility on the Magnificent Mile

  • Solar Lending

    Programmatic lending for late stage development and construction of solar projects

  • New York Community Redevelopment

    Senior loan to finance the redevelopment of a brownfield site in Brooklyn, NY

  • Minor League Baseball Stadium

    Acquisition of distressed municipal bonds secured by a Triple-A minor league baseball stadium and franchise in downtown Memphis

  • Iconic Boston Hotel

    Rehabilitation and build-out of landmark hospitality asset on a major university campus in Kenmore Square