HFG invests with large national or regional builders and developers with a proven track record of quality developments and local market experience. We follow a standard process in reviewing each opportunity that is presented. Because we have many years of experience in building and development, HFG is sensitive to the timelines of our Developer and Builder clients. Here are the key steps of our Investment process:
Initial Application and Project Consideration
HFG begins by collecting all of the necessary information for an initial review of the project and/or builder/developer. If you are new to HFG, we will collect information about your organization for review prior to evaluating the project. As part of the project consideration, we will collect all of the pertinent data necessary to determine if the project meets our investment criteria.
Preliminary Due Diligence
After the initial data collection, HFG will begin preliminary due diligence on the project, which includes a site visit and other interviews conducted by our experienced development department.
Initial Report
An initial report is then prepared, which includes a completed due diligence checklist, opinions regarding the pros and cons of the project, and an initial project proforma, to present to the HFG Investment Committee.
Approval
If a preliminary approval is attained, then a detailed letter of intent including a term sheet is prepared for signatures. This is followed by any remaining due diligence, including retaining outside opinions and counsel on the project if necessary.
Final Report to Investment Committee
The HFG Investment Committee, which meets regularly, will vote on the project investment.
Closing
HFG's operations and legal departments will quickly begin the closing and acquisition process upon approval from the Investment Committee. Using HFG’s proprietary real estate information system, this process is typically conducted seamlessly and in a timely manner.
