Net Property Group (NPG) acquires and redevelops underperforming retail properties, increasing their value and profitability. NPG has a proven investment strategy of locating off-market deals, determining redevelopment potential, securing financing, rehabilitating properties, and re-tenanting them. NPG then stabilizes the properties and either holds them as income-producing assets or sells them. NPG has achieved average annual returns of 25% since 2000 and its portfolio is estimated to be worth $62.3 million.
1. Net property group NPG FIRM OVERVIEW REAL ESTATE DEAL FORUM JULY 16, 2009 Tony Diggan Net Property Group 116 Route 22 North Plainfield, NJ 07060 Email: tdiggan@netproperties.us Office: 908.226.0123 Cell: 609.947.2732
2. NPG Firm Overview Introduction to Net Property Group 2 Net Property Group (NPG) is an active owner/investor in retail real estate with a tradition of success. We are very adept at identifying and acquiring underperforming commercial properties and redeveloping and re-tenanting those properties into stable, profitable, income producing properties. Our in-house team includes property management, construction management, accounting, legal and finance functions.
3. NPG Firm Overview NPG Advantages 3 Performance data provided in this presentation is based on internal NPG calculations as of 4/15/2009. The performance data is based on the investment history of NPG. This information is provided for illustrative purposes only. We are not recommending or soliciting any action based upon this material.
13. Average year over year growth of 25% since Year 2000Performance data provided in this presentation is based on internal NPG calculations as of 4/15/2009. The performance data is based on the investment history of NPG. This information is provided for illustrative purposes only. We are not recommending or soliciting any action based upon this material.
14. NPG Firm Overview NPG Advantages 9 NPG’s investment strategy has achieved average year over year growth of 25% since 2000. Performance data provided in this presentation is based on internal NPG calculations as of 4/15/2009. The performance data is based on the investment history of NPG. This information is provided for illustrative purposes only. We are not recommending or soliciting any action based upon this material.
15. NPG’s Value Added Retail Investment Track Record NPG Firm Overview 10 Total Value Added (Total Return) by Period 5 Year Period 11 Year Period Performance data provided in this presentation is based on internal NPG calculations as of 4/15/2009. The performance data is based on the investment history of NPG. This information is provided for illustrative purposes only. We are not recommending or soliciting any action based upon this material.
16. NPG Firm Overview NPG’s Value Added Retail Investment Track Record 11 Table of NPG Portfolio Returns Performance data provided in this presentation is based on internal NPG calculations as of 4/15/2009. The performance data is based on the investment history of NPG. This information is provided for illustrative purposes only. We are not recommending or soliciting any action based upon this material.
17. NPG Firm Overview NPG’s Value Added Retail Investment Track Record 12 Example Investment After Before Performance data provided in this presentation is based on internal NPG calculations as of 4/15/2009. The performance data is based on the investment history of NPG. This information is provided for illustrative purposes only. We are not recommending or soliciting any action based upon this material.
18. NPG Firm Overview NPG’s Value Added Retail Investment Track Record 13 Example Investment After Before Performance data provided in this presentation is based on internal NPG calculations as of 4/15/2009. The performance data is based on the investment history of NPG. This information is provided for illustrative purposes only. We are not recommending or soliciting any action based upon this material.
19. NPG Firm Overview NPG’s Value Added Retail Investment Track Record 14 Example Investment After Performance data provided in this presentation is based on internal NPG calculations as of 4/15/2009. The performance data is based on the investment history of NPG. This information is provided for illustrative purposes only. We are not recommending or soliciting any action based upon this material.
20. NPG Firm Overview NPG’s Value Added Retail Investment Track Record 15 Example Investment After Before Performance data provided in this presentation is based on internal NPG calculations as of 4/15/2009. The performance data is based on the investment history of NPG. This information is provided for illustrative purposes only. We are not recommending or soliciting any action based upon this material.
21. NPG Firm Overview NPG’s Value Added Retail Investment Track Record 16 Example Investment After Performance data provided in this presentation is based on internal NPG calculations as of 4/15/2009. The performance data is based on the investment history of NPG. This information is provided for illustrative purposes only. We are not recommending or soliciting any action based upon this material.
22. NPG Firm Overview NPG Advantages 17 NPG’s disciplined investment strategy has achieved average year over year growth of 25% since 2000. NPG has an established 11 Year track record with yields in excess of 35%. Performance data provided in this presentation is based on internal NPG calculations as of 4/15/2009. The performance data is based on the investment history of NPG. This information is provided for illustrative purposes only. We are not recommending or soliciting any action based upon this material.
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24. Collectively they have owned and managed in excess of one million sf of retail real estate.
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26. NET PROPERTY GROUP Thank You. For more information, please visit www.netpropertygroup.com or email: tdiggan@netproperties.us
27. NPG Firm Overview Biographies 21 Vincent Castagno Mr. is a 15 year real estate veteran who learned the business from the ground up. As a managing partner of NPG, Vincent's focus has been identifying underperforming retail centers and negotiating acquisitions, asset management, and redevelopment of new assets. Vincent has taken the lead on land use issues obtaining governmental approvals for ground up development projects as well as redevelopment approvals of existing centers. Working with other industry professionals, he has been able to maximize the development potential of NPG projects. He is proficient in all aspects of construction from project buyout through obtaining the Certificate of Occupancy. Mr. Castagno started his career as a retail leasing specialist at Jeffery Realty. Vincent has closed in excess of 250 sales and leasing transactions to date and has established strong relationships with both national and regional retailers. Vincent led the expansion efforts of several chains in New Jersey, notably Hollywood Video with 27 stores, Einstein Brother Bagels, and Total Wine and More. He handled all aspects of site selection, lease negotiations and store opening requirements. Vincent was awarded the "Power Broker" designation by the CoStar Group for his book of business as a retail broker. Vincent was instrumental in growing Jeffery Realty into the well respected retail brokerage leader in New Jersey. Mr. Castagno graduated from the Purdue University. Bruce Jeffery Mr. Jeffrey is a managing partner in NPG where his specialty is deal sourcing and acquisitions. Bruce has over 30 years experience in the commercial real estate industry. In the late 1980's, he founded Jeffery Realty. The firm, which is comprised of over 14 salesmen, specializes in the leasing and selling of retail properties in central and northern New Jersey. Jeffery Realty has emerged as one of the leading retail brokerage firms and continues to dominate the industry by amassing over 1850 closed retail transactions to date. In the late 1990's, Mr. Jeffrey formed an investment company with long time broker associate Roy Pascal to acquire value added retail properties in Central and Northern New Jersey. Those holdings, which are not part of NPG, total approximately 400,000 square feet. In 1998, Mr. Jeffery and Mr. Pascal, formed NPG with Vincent Castagno and Bill Mooney. NPG holds approximately 350,000 square feet of retail properties. The holdings of both investment companies, which total 750,000 square feet, are managed and operated by a full time in house staff of property managers, admin personnel, legal counsel and accounting personnel. On a day to day basis, Mr. Jeffrey oversees the operation of Jeffrey Realty, Inc. and Investors Holding Fund and sources new deals for NPG. Bruce has a BS in Business Administration from Lebanon College.
28. NPG Firm Overview Biographies 22 William Mooney Mr. Mooney is a principal in NPG and an original partner in the firm. His areas of expertise are identifying the next acquisition, handling all aspects of contract negotiations and financing. Mr. Mooney works closely with the NPG team in analyzing prospective purchases from all aspects including financing, construction, tenant mix, and marketing. Mr. Mooney has been involved in commercial real estate for over 25 years specializing in the retail sector. Prior to forming NPG, Mr. Mooney was a Vice President with Jeffery Realty, Inc., a leading retail brokerage firm in New Jersey. While at Jeffery Realty, Inc., Mr. Mooney was responsible for over $100M in transactions involving leasehold and sales transactions. Roy Pascal Mr. Pascal has over thirty years experience in the commercial real estate industry. Mr. Pascal is a managing partner of NPG and is involved in deal sourcing and acquisitions. He is also a managing partner of Investor Holding Fund, an investment company he founded with Bruce Jeffrey. Mr. Pascal began his real estate career in the early 1980's when he acquired his New Jersey Real Estate License and purchased his first retail property while still in college. This buying trend continued through the 1980's and expanded into larger multi-family and various types of commercial properties. By the end of the 1980's Mr. Pascal had purchased, sold, syndicated, renovated, and rehabbed over $30 Million worth of New Jersey Real Estate of all types and sizes. He was responsible for property management, commercial leasing, acquisitions and dispositions as well as all phases of general and limited partnership formation and capital structure. During this same time Mr. Pascal opened and operated, along with his father, Lincoln Agency, a full service commercial Real Estate Brokerage Company. In 1991 Lincoln Agency was merged with Jeffery Realty, Inc. which combined forces and created what was and is currently one of the largest retail real estate brokerage companies in New Jersey. Shortly after the merger, an investment property sales group was formed in order to focus on brokerage activities for same. Knowledge of the market place and product combined with long standing quality relationship fueled over forty investment property sales ranging from $1,000,000 to $25,000,000 within the mid 1990's.
29. NPG Firm Overview Biographies 23 Tony Diggan Mr. Diggan is CFO of NPG. Mr. Diggan has over 15 years experience in the real estate finance and construction industries. He is well versed in managing commercial and residential real estate investments and has sourced debt and equity for over $150M of real estate development projects. While at Lennar, he oversaw the division finance department and was responsible for all deal underwriting, land division financing and investor/fund relationships. In this role, Mr. Diggan was responsible for the day to day management of over $50M in joint venture investments (JVs). He was responsible for all aspects of these JVs including: their formation, acquiring assets on behalf of the JVs, capital calls, monitoring JV investment performance, disbursement of JV proceeds, disposition of JV assets, investor reporting and JV partner buyouts. He also led M&A negotiations for the acquisition of a regional homebuilder, led the acquisition effort on a several hundred million dollar military base acquisition and devised a $300m land fund. Mr. Diggan’s construction and development experiences are well diversified. He has led the approvals process for residential and commercial projects, as well as approvals for dozens of roadway projects. Mr. Diggan has also overseen the architectural design effort on numerous multifamily and commercial buildings. His construction experience has ranged from the management of heavy site work to supervision of residential construction. Mr. Diggan received a BS in Environmental Engineering from Wilkes University and an MBA from Rutgers University. Robert David Mr. David is in-house counsel for Net Property Group and handles acquisitions, due diligence and lease-up. He is a member of the New Jersey and New York bars and the bar of the Supreme Court of the U.S. He has practiced real estate law for over 20 years in major New Jersey law firms and a major national retailer. Mr. David received his BA from Hampshire College and his JD from Georgetown University Law Center.
