What are some key issues family office investors should consider before making an investment in an OZ, especially during the pandemic?
I always suggest that investors consider the quality and experience of the management team first and the quality of the project second. Management is the number one criterion. As for COVID-19, if it is real estate look for highly engineered A/C, heating and filtration systems in any buildings.
The main risks are the holding period of the investment and the pandemic's impact on real estate. Development is an inherently risky activity, and depending on what the OZ entity is developing, you need to be careful about whether the project will make a profit. Family offices can mitigate these risks by finding the right partners.
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