HYPERION CAPITAL GROUP
Established in 2005, Hyperion Capital Group is a vertically-integrated owner and operator of real assets for our own account and on behalf of our partners and co-investors seeking to invest in urban real assets, lease assets, and other credit strategies, with a principal focus on Texas and Southern California. Hyperion Capital is a process- and research-driven owner and operator that aims to mitigate risk through the fundamental analysis of the long-term drivers in communities. Hyperion's successful track record relies on the broad expertise of its integrated project delivery structure, investment discipline, and sourcing capabilities.
DISCIPLINE
Hyperion's urban investment discipline is based on the premise that the best way to create or enhance value is to focus on a community as a whole, by owning and operating varied assets or asset classes within that given community. This philosophy enables Hyperion to more efficiently realize the benefits of that community's transformation through each of its distinct fund strategies' risk/reward profiles. Hyperion's investment philosophy is non-product specific and driven by the principle that every investment should correlate with the needs of the community in both the near- and long-term. Areas of differentiated expertise include:
URBAN INVESTMENT EXPERTISE
An in-depth understanding of urban investments throughout the sourcing, acquisition, entitlement, financing, development, asset management, and disposition processes.
DUE DILIGENCE & CAPITAL DEPLOYMENT
The ability to efficiently and comprehensively conduct due diligence and close on investments, through any of Hyperion's strategies.
PARTNERSHIP-ORIENTATION
A strong track record of building long-term relationships, development and investment partners, co-investors, and public partners as well as continuously fostering new relationships. Hyperion works with partners to ensure the highest level of performance across all aspects of a project—from the drawing board to ongoing operations—to meet the needs of all stakeholders.
FLEXIBILITY
The ability to tailor development structures to suit project, circumstance, and partners' needs.
EXPERTISE
Hyperion possesses an in-depth understanding of urban and net-lease investing throughout the sourcing, acquisition, entitlement, credit analysis, financing, development, asset management, and disposition processes. We have multi-disciplinary expertise in all areas of real estate operations, including:
CAPITAL MARKETS
Sourcing New Capital
Evaluating Alternative Financing Opportunities
Forecasting
INVESTMENT
Sourcing & Acquisitions
Credit Analysis
Structuring Transactions
DEVELOPMENT
Entitlement & Planning
Sustainable Designs & LEED Certification
Architecture & Engineering Management
Public-Private Partnerships
LEASING
Mixed Use
Multifamily
Creative Office
FINANCIAL CONTROLS & REPORTING
Audits
Budget Variance Reports
Reconciling Revenues and Expenses
Managing Vendor Payments
ASSET MANAGEMENT
Providing tenants and residents with first-rate operational service.
Performance monitoring, asset maintenance, and enhancement.
DEVELOPMENT
IVAR RESIDENCES
Located in the heart of Hollywood, is the development of a 32-unit, 32,553 rentable square foot ground-up apartment project, that includes 83 parking spaces located in the heart of Hollywood. The site is centrally located, within blocks of the brand-new W Hotel, Grauman’s Chinese Theatre, the Dolby Theatre, Hollywood & Highland Center, and several restaurants and bars along Hollywood Boulevard.
THE CROFT BUILDING
Adjacent the Pacific Bell Warehouse redevelopment project, Hyperion is in predevelopment for a mixed-use project featuring 16 condominium units, seven rental units, and approximately 11,000 square feet of retail and commercial space. The property is located on the bustling Santa Monica Boulevard in the heart of Hollywood.
BLADE MEDIA CENTER
This three-building creative office portfolio located in Culver City, California is one block from the Metro Expo line currently under construction, and when complete, it will connect downtown Los Angeles to Santa Monica. The properties, will feature open floor plans, high bow truss roof structures, and ample light, are situated on the east end of downtown Culver City, and within walking distance to restaurants and retail stores, the Arts District, and Sony Pictures Imageworks.
DISNEY BUNGALOWS
Originally built by Disney Studios in the 1920's to house the studio's contract writers, animators, and set-builders who could then walk to work as part of Walt Disney's concept of having a studio community, this historical preservation project included numerous bungalows in Silverlake, California and is credited in part for the gentrification of the area which had fallen into disrepair following Disney's relocation to Burbank in the 70s. The neighborhood was subsequently declared a Point of Interest by Los Angeles Cultural Heritage Board and now once again (somewhat ironically) claims residence to animators and writers of today's studios including Dreamworks.
PERFORMANCE
TRANSACTION SIZE
$2.0-
$30M
ENTRY CAP RATES
3-7%
AVERAGE UNLEVERED YIELD
8-12%
AVERAGE LEVERED YIELD
9-15%
HOLD PERIOD
5-10
Years
AVERAGE TOTAL IRR
9-18%
PROPRIETOR
Hunter Coates
Hunter Coates has been an active real estate investor for more than 10 years. Since founding the firm in 2005, Mr. Coates has been actively involved in the development, redevelopment and repositioning of Hyperion's real estate investments. Additionally, Mr. Coates performs research, analysis, and negotiations on a variety of real estate transactions including acquisitions and dispositions, tenant leases, and securitized real estate financings. His duties further include asset management, financial reporting, and strategic planning for the firm.
As sole proprietor, Mr. Coates has adopted the Integrated Project Delivery (IPD) method for the company structure. IPD, as the name suggests, is a project delivery approach that brings together all of the disciplines and professionals as part of the same entity, with common goals and incentives. The basic difference between the IPD approach and the design, bid, and build approach is with the IPD approach the different team members form a new entity while remaining autonomous professionals. The different teaming partners become invested in the new entity. The new entity enters into a single contract with the developer to finance, design, and build the development project with shared corporate governance, common incentives, penalties, and mutually agreed on goals and objectives. From the developer’s perspective, utilizing the IPD approach has simplified the development process and offers a cost savings relative to the traditional fixed employment company structure.
Mr. Coates is a member of the Urban Land Institute, the Urban Mixed Use Development Council, and has been an active volunteer project manager and carpenter for Habitat For Humanity, a nonprofit organization that works to provide affordable housing for low to very low-income families.
Mr. Coates holds a B.S. degree in Biochemistry from Louisiana State University and a Msc in Real Estate Economics and Finance from Florida International University’s Chapman School of Business.
