One of Related’s greatest assets is our financial strength and expertise. This includes our significant net worth and liquidity, access to capital, financial flexibility, and ability to minimize risk. Our balance sheet is strong; we continue to reinvest our capital in our business and, as a result, have created a company with a multi-billion dollar equity value.Our access to capital is unmatched in the industry. We currently maintain significant working capital lines which are available to immediately capitalize on investment opportunities. As a result of our favorable financial position and our excellent track record, we are in the desirable and unique position of having major lenders willing to finance our projects. Related has also served as a major provider of debt and equity capital and managed institutional capital for over three decades, with deep and longstanding relationships with industry leaders. Unlike most fund managers, Related has the platform and the hands on operating experience to maintain and enhance the value of assets.With new development projects, the goal is to create an additional asset that generates a recurring cash flow stream. Together, these income streams provide a continuous return on investment for Related and our partners while maintaining the optimal level of financial flexibility and liquidity. We place a high premium on these financial resources, as well as on our access to capital; they enable us to take swift and full advantage of profitable opportunities while assuring us ample reserves to handle any potential uncertainty.We also focus on minimizing risk, allowing us to be fully prepared for any adverse market shift or change in business conditions. We do this by limiting recourse guarantees and contingent liabilities. Financial institutions are willing to work with us on this basis because we bring conservatively underwritten transactions to the table and because we have a compelling track record.As one might expect, given our history, we benefit greatly from an expertise in financing government-sponsored programs. No one has a deeper knowledge of the complex web of regulations and requirements established by local, state and federal agencies. With this knowledge we are able to secure financing at a significantly lower cost and develop relationships with high-quality institutional partners for joint ventures.
Since 1972, the company has created numerous innovative strategies in the area of finance, product development, operations and marketing – strategies that in many cases have evolved into industry standards. Such leadership has helped us to create premier multi-family and mixed-use developments that have become market-dominant properties.
Our dedication to the highest possible standards in every aspect of our business is visible in everything we do. It is reflected in the distinctive architecture and interior design of our developments and in the quality of their construction, in the distinction of our partners and in the consistently high level at which our properties operate. It is also apparent in our long-term commitment to owning and managing our properties.
We have established sophisticated information technology, accounting, treasury and human resource systems that assure that our partners, lenders and employees have access to timely and relevant financial information. Not only does this provide data that is critical to our successful operation, but also gives our partners and financial sources confidence in the information we deliver.
With over $30 billion worth of development and acquisition activity, we are in an exclusive league in terms of volume. This provides us with considerable purchasing and negotiating power and lower construction, operating and marketing costs. All of this allows us to manage our assets with greater efficiency and maximize every dollar spent.
Our integrated corporate structure has allowed us to develop significant synergies across our multiple areas of business activity. A good example of this is the way in which our development team draws upon company-wide expertise across a variety of markets and property types to compete effectively for large-scale development opportunities. We also benefit from the integration of our property management and residential sales teams, which provide us with direct access to real-time information about operating costs and market conditions.
Since developing one of the nation’s first LEED Gold residential buildings, Related has been a market leader in environmentally-conscious real estate development and operations. For us, optimum building performance and environmental responsibility are essential attributes of a quality development and are evidence of our commitment to excellence.Related takes a comprehensive approach to enhancing the environmental sustainability of our business. We currently pursue LEED certification for all of our eligible development projects, which span luxury residential, retail, commercial and mixed use. LEED is the most-recognized standard of environmental performance for the built environment. We are using environmentally-preferable operations and maintenance practices across our portfolio of owned and managed properties. Where we offer luxury resident services, we are introducing amenities designed to make living green cost effective and convenient. And, at the office level, we are making the small, but significant environmentally-conscious changes to align our internal corporate practices with our sustainability vision and guiding principles.As a company of significant size, capability and influence, we acknowledge and embrace our responsibility to lead by example. This approach keeps us at the forefront of our industry in all regards.To read more about our sustainability vision and initiatives, please click here.
Because of our financial strength and our extensive experience in the development and construction business, lenders are bringing us on board on behalf of their borrowers. As an industry leader, we are the choice of lenders looking for an experienced team with a proven track record, who can execute a complicated strategy to maximize the lender’s value in distressed properties.
Above all else, our key advantage is the quality and experience of our people. We have long placed a high premium on finding and retaining only those individuals who are the very best in their respective fields. The professionalism and entrepreneurialism of our employees at every level is often noted by our partners, customers and residents as a distinguishing characteristic of our company.