ValuationPlus

HVA’s ValuationPlus service integrates our team’s competencies in real estate and operating companies to benefit our clients’ Finance & Operations teams. 

ValuationPlus provides the required periodic value for your positions, but also goes a step further to identify and communicate what drives the changes in value and how long-term value is added. The accompanying models and reports act together as tools to align Asset Management and Finance and Operations teams in your fund. 

INDEPENDENT VALUATION
ASSET SURVEILLANCE
DEEP-DIVE OPERATIONAL ANALYSES
BROAD MARKET COMPARISONS
ROBUST VALUATION REPORTING

 

Benefits Across Your Fund

HVA's reporting offers the required third-party resource that aligns asset surveillance communication across fund operations and management.

  • Ease communication across Originations, Asset Managers, and Finance & Operations teams

  • Objectively organizes status updates from sponsors and operators with market performance

  • Provides early warning indicators on underperforming or outperforming assets

  • Supports Compliance with Fair Value reporting on Level 3 assets.

Robust Valuation Reporting

Whereas typical valuation firms apply a haircut to a fund’s own modeling and a short narrative, HVA’s reporting provides extensive discussion around input assumptions, historical and projected asset performance, budget-to-actual tracking, and market conditions.  ValuationPlus reports are intended to be read cover-to-cover providing the reader with a thorough understanding of the investment, structure, investment performance at an operational level, and valuation methodology.

  • Drive investor confidence by providing an independent third-party perspective to support valuation alongside overall investment performance

  • Directly support annual audit processes alongside Financial Operations teams.  

Seeking Alignment

Continuously align your team with objective reporting on the progress of each position.  Internal teams often have an innate understanding of the performance of their assets, it’s easier to communicate the broader markets’ perspective of your assets with ValuationPlus.

Methodologies

HVA’s experience across industries and asset classes provides the knowledge and insight necessary to understand and apply best practices for valuation methodology for each unique structure and industry of a portfolio. While most of our valuations are supported by a Discounted Cash Flow models, we often incorporate checks based off of other market metrics used in comparable deals to compare and contrast results.  These methods may include but are not limited to Black-Scholes, Capitalization Rate, Brokers’ Price Opinions, etc. As our methodology is developed and proposed for your portfolio, you can trust regular reporting will occur with a standard, systematic implementation of the same best practice process each period.

Operators' Growth Mindset,
Investors' Data-Driven Insight

Since 2008, HVA has served as a trusted partner to funds ranging from portfolios of $20B to investments of $50M. Valuation Plus reports serve surveillance needs and provide consistent and transparent representation on the performance of your investments. Further, our valuation clients benefit from HVA’s Management Consulting practice, where we engage with operators directly to expand operating businesses and real estate portfolios, providing unique market intelligence.  

Our focus on granular details alongside larger goals allows ValuationPlus to serve as a value-add for asset managers rather than just a straightforward modeling exercise to check a valuation box.

Asset Class Coverage

It is important your Valuation Partner has experience and expertise in the area of your investments. With HVA’s team history of valuation work and operational advisories, our expertise covers a variety of industries.

 

ValuationPlus includes modeling complex structures mixing equity, debt, options or warrants as well as complex waterfall structures between investors and partners.

Operating Companies

Manufacturing

Distributors

Industrials

Healthcare

Importers

Consumer Products

Commercial

Office, Retail, Medical, Hospitality, Mixed-Use

Residential

Single Family Rental Portfolios, Multifamily

Senior Housing

Assisted Living, Independent Living, Memory Care, Skilled Nursing

Real Estate Developers and Operators

Land / Lot Banking

Infrastructure

Performing and Nonperforming Debt

Real Estate Operators

Equity, Options, and Warrants Included.