In our Spring webinar with NREI, RCLCO outlined an approach to contrarian investing in real estate – a framework for identifying where long-term fundamentals and the current attention of capital are misaligned. The challenge, of course, is pricing the risk in this approach and understanding where you are getting paid for avoiding the herd mentality and where you are taking long bets with uncertain payoff.

Almost 1,000 people watched the first webinar, and a majority expressed an interest in this approach to investing, but with the primary hesitations arising from the difficulties in underwriting this type of investment and in figuring out how these strategies fit within a broader real asset investment portfolio.

In this presentation we turn to these challenges to explore:

• Constructing a portfolio that “stacks” contrarian real estate investments with more easily underwritten investments
• Understanding the market cycle and how it applies to contrarian investments and more conventional investments
• Debt or creative capital stack formation to facilitate over-looked and under-appreciated sector allocation
• A “how-to” guide for underwriting a manager’s contrarian strategy
• Monitoring and asset management in a space where data might be sparse and benchmarking difficult