Utility is the ultimate hedge.
In an economy drifting toward abstraction, we anchor ourselves in the physical. The contractor, the distributor, and the supplier cannot operate in the cloud. They require functional assets: secure yards, accessible bays, and reliable power.
We do not speculate on what the economy might do. We invest in what the economy must use. We acquire the essential infrastructure that allows work to happen.
The Aggregation
Strategic Focus
We operate exclusively in the $500k - $5M range. Large institutional capital is structurally unable to acquire assets this small, creating a pricing inefficiency we exploit.
Value Creation
We actively seek assets with Operational Complexity—deferred maintenance, below-market leases, or zoning challenges. We do not fear the complexity; we monetize it.
Scale via Aggregation
We are building a singular, institutional-grade portfolio. We aggregate these nodes to create economies of scale and financing power that a single asset could never achieve. We build the "Big" out of the "Small."
Survival is the prerequisite for Return.
We do not bank on "Exit Cap Rate Compression." We bank on Cash Flow Durability.
1. Basis Discipline
We buy below replacement cost. We ensure that our "All-In" basis allows us to be profitable even if rents stagnate.
2. Debt Resilience
We utilize conservative leverage as a survival tactic. We structure debt to withstand significant market drawdowns, ensuring we are still standing when the sun comes out.
3. Operational Alpha
We force appreciation by driving revenue through professional leasing and directing rigorous expense management. We create value inside the fence line.
The Covenant
DOC ID: CONST-011. The Principal Standard
We are Operators, not Allocators. We believe that a General Partner earns their keep only after the Limited Partner has been protected. We prioritize the Return of Capital because we know that liquidity is freedom.
2. The "Radical Truth" Policy
Trust is earned in the trenches. We commit to telling you the truth, especially when it is uncomfortable. You will see the good, the bad, and the ugly. We do not sanitize reports.
3. The Guardian Mindset
We are not short-term traders. We are adopting these assets. We view ourselves as the Guardians of this portfolio. We treat your capital with the reverence due to a family's hard-earned savings.
Signed
Michael Holt, Principal
Date
2025