In the residential real estate market, there have been times where people may have been able to buy properties at a low price, renovate them in some way, and then sell them to another buyer within a short period of time. "Flipping" properties, as this practice is known, allows investors to make a return on an investment that may be held for a shorter time than otherwise thought. While commercial investors, such as LaeRoc sometimes flip office buildings in this way, it's more common for commercial real estate to move at a more sedate pace.
LaeRoc looks for properties that have a good tenant history and good "bones." These are buildings that are typically located near the center of major metropolitan areas, and they're often home to long-term business tenants who need easy access to their clients and potential customers. Buildings like this can change hands due to a variety of circumstances. LaeRoc has picked up investments due to financial hardships of the companies that owned the buildings, but LaeRoc has also picked up buildings that were in good shape, with good tenants, but that had owners that needed to sell their assets for a variety of reasons. Each asset is different.
LaeRoc looks for properties in good condition and that have a good tenant mix. An orderly pace to purchase, management and disposition is a practice within the industry, and one LaeRoc looks to.