Where Locals Are Heading for Value-Add Opportunities

For value-add investors, emerging markets can be a goldmine of opportunities. San Diego-based Pathfinder Partners is focusing on a number of emerging markets throughout the Western US, and it is finding deals that fit its strategy in Denver. Recently, the firm completed the adaptive reuse of the Gold Star Sausage Factory building in Denver in the latest of 19 transactions in the market since 2010. We sat down with Lorne Polger, senior managing director of Pathfinder Partners, to talk about the firm’s strategy and why Denver has been a hotbed of opportunity. GlobeSt.com: Tell me about your overall investment strategy?

Lorne Polger: Our investment philosophy has primarily been to acquire value-add multifamily properties in select mid-tier cities throughout the West. We have focused on investing in seven markets where we have been active for a number of years: Seattle, Portland, Denver, Phoenix, San Diego/Southern California, Las Vegas and Sacramento. All of these markets exhibit strong market dynamics, solid population and job growth and attractive housing fundamentals, which we expect to continue over the next several years.

GlobeSt.com: What was the appeal of the Gold Star project, and do you have future plans for adaptive reuse projects?