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Paul Drake's avatar

Thanks, Leyla. Do you have a general view on real-estate investments starting at negative cash flow?

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Leyla Kunimoto's avatar

Personally, I stay away from deals with negative cash flow (even ones where it’s expected, e.g. ground up construction)

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Paul Drake's avatar

Thanks. Me too on the public side. That's why I'm not in WP Carey. Their CEO talks about GAAP yield in a way that implies initial negative cash flow would be fine.

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