Strategy
DIAL Method
The D.I.A.L. method is our approach to evaluating properties for acquisition and management. The abbreviation stands for: depreciation, income, appreciation, and leverage. The goal is to find a property that maximizes all four factors and calibrate your investment plan towards that end. You are literally tuning the dial to achieve success!
Risk Mitigation
The Thorinson Family Office invests in real estate, as it is a secure, physical asset and hedge against inflation. We never seek a loan-to-value higher than 70%/30%. We commit substantial skin-in-the-game on all investments of at least 25% of the capital deployed. The managing team have been in real estate for four generations and have successfully managed six funds. We have embedded on our team a general contractor, civil engineer, architect, and litigator, to keep costs down. We have an experienced advisory board, share access to P&Ls, viewing rights to the property bank accounts, and at least one financial audit by Moss Adams during the life of the fund (if requested). Our financials are monitored by a former assistant controller with experience working for three different banks. But don’t take our word for it—investor references available as part of due diligence.
Succession
Investors do not come to us because we are the flashiest of the bunch. They come and stay because they have a desire to remain in real estate but not actively manage their wealth. “… [t]he spirit is willing, but the flesh is weak.” Matthew 26:41. Some have considered REITs and DSTs but were turned off by the loss of control, restrictive redemptions, hidden fees, high operating costs, and overpriced and over leveraged assets. Others have little to no background in real estate and seek to diversify their wealth from stocks and stock options into tangible, physical assets. And all our investors prefer The Thorinson Family Office as a temporary professional steward of their wealth until they can put together a succession plan within their families. Avoid the Brazilian saying “rich father, noble son, poor grandson,” and consider The Thorinson Family Office your trusted partner until you find someone in your family to take over.
