overview 2
CONTENTS
stats 3
investment strategy 4
acquisition criteria 5
portfolio 6
case studies 7
leadership 13
strategic partners 16
OVERVIEW
Waterford Property Company is an Waterford Property Company was created
owner-driven diversified real estate through a merger of three predecessor
investment and development company companies, Stillwater Investment Group,
whose Principals have an established track The Waterford Group, and Waterford
record in land development and Residential. Sean Rawson founded The
entitlements as well as acquisitions and Waterford Group and John Drachman
repositioning of commercial and founded Stillwater Investment Group.
multifamily properties. Its founders, Sean Coming from diverse backgrounds within
Rawson and John Drachman, have real estate, they joined forces in 2015 to
collectively acquired or managed over start Waterford Residential to pursue
$1Billion in projects throughout California projects together. After completing over 25
and Arizona. Waterford prides itself on its joint ventures together, they decided to
ability to plan/build/reposition unique real formally merge their three companies into
estate projects that meet or exceed the one firm known as Waterford Property
needs and desires of local stakeholders Company. Sean’s deceased mother Joan
while achieving high risk-adjusted returns collected Waterford Crystal, as she loved
for our investors. Additionally, Waterford the quality it represented. We pay tribute to
is an expert in affordable housing and has her through our company name and seek to
built over 300 Low Income Housing Tax continually create the highest quality real
Credit (LIHTC) units with a joint venture estate projects through our disciplined
partner. investment strategy.
DEVELOPING REAL ESTATE THAT ENABLES PEOPLE AND BUSINESSES TO THRIVE
STATS
Commercial Acquisitions - 1.55M Square Feet
Aggregate Acquisition Value - $276M
Residential Acquisitions - 602 Apartment Units
Aggregate Acquisition Value - $160M
Entitled Residential Units - 1,355 Units in Southern California
Total Land Value - $125M
Completed Development Projects - 3 LIHTC Projects totaling
over 300 Units
Total Project Costs - $100M
Aggregate Transaction Volume - $651,000,000
Number of Projects Acquired/Developed - 45
Cumulative Property level IRR for Sold Assets - 30.40%
INVESTMENT STRATEGY
Waterford, with integrity as our guiding principal, develops and enhances real estate projects by utilizing our firm’s superior relationships,
expertise, and market knowledge to create significant value for our investors, tenants and the communities in which we operate.
To accomplish our Mission, Waterford utilizes the following disciplined investment strategy on all of its projects.
Identification
Waterford leverages its deep relationships throughout the real estate community to source new acquisition and development opportunities, both on
and off-market.
Evaluation
Waterford utilizes its strong market knowledge and expertise to evaluate whether opportunities will generate high risk-adjusted returns, both near
term and longer term.
Business Plan
Waterford creates a unique business plan for each asset that seeks to maximize value while increasing the property's competitive advantages.
Capitalization
Waterford forms joint ventures with institutional and private investment partners to acquire the projects paying special attention to ensure the
projects meet the investor's short term and long term real estate investment goals.
Asset Management
Waterford works diligently to drive the business plan forward after acquisition, with an aggressive & hands on asset management approach to each
project through its team and strategic partners.
ACQUISITION CRITERIA
Commercial Acquisitions Multi-family Acquisitions
Investment Size Investment Size
$3 million to $150 million Acquire 1-200 unit multi-family properties where value can be added
through improved management, renovations, leasing, and/or
Waterford Property Company can acquire all cash, with a quick close repositioning within two years.
Product Type Target acquisitions that allow significant rent increases through
Existing income-producing properties property rebranding and repositioning with “cosmetic”
construction/rehab efforts.
Failed or stalled construction projects
Investment Thesis
Performing and non-performing loans secured by real estate To acquire non-institutional “value add” multi-family opportunities
Multi-tenant properties, including low occupancy or in core supply constrained Southern California in-fill markets with
vacant properties with excess land or additional entitlements recent institutional multi-family investment and development.
Property Type Target Markets
Single or multi-tenant Core In-fill markets located in Los Angeles, Orange and San Diego
Warehouse/distribution Counties.
Multi-tenant business parks
Flex/R&D Target markets will be high barrier to entry markets with aging
Corporate-owned facilities housing stock but strong market fundamentals and recent
institutional investment.
Target Markets
California and Arizona
In-fill B or better markets
PORTFOLIO
Our team is uniquely positioned to conceptualize, design, construct, reposition, lease, market and manage all aspects of real estate development
projects, resulting in maximized asset value.
Below is a selection of Waterford Property Company’s current commercial and residential real estate projects.
Commercial - Element - Aliso Viejo, CA Commercial - 1WTC - Long Beach, CA Residential - 2nd Street - Long Beach, CA Residential - 546 Cherry - Long Beach, CA
Residential - Malden Station - Fullerton, CA Residential - Parc Derian - Irvine, CA Residential - 360 Lime - Long Beach, CA Commercial - The Lakes - West Covina, CA
ELEMENT - ALISO VIEJO CASE STUDY
26600, 26650, and 26700 Aliso Viejo Parkway, Aliso Viejo, CA
Identification – Waterford utilized a relationship with a local leasing broker to acquire the vacant
160,000 SF Office campus with 2.5 acres of vacant land off-market in December of 2016 from a
Corporation looking to dispose of excess real estate after a merger.
Evaluation – Waterford utilized its strong market knowledge to underwrite the opportunity quickly.
Business Plan – Waterford felt the project could be re-positioned well by making it a campus office
project targeting larger users in Orange County who sought their own campus environment in close
proximity to excellent retail and housing amenities. It also went through a formal re-branding of the
project so it was more widely known in the brokerage world.
Capitalization – Waterford partnered with an Institutional real estate equity fund to acquire the
project all cash for $36M within 30 days of going under contract.
Asset Management – Waterford hired best in class architects and general contractors to reposition
the asset as a high end office campus for any large users seeking new space in Orange County. Waterford
was able to attract a large, publicly traded firm known as Glaukos, to lease all 160,000 SF of the project
within two years of acquisition as well as purchase the land for future development potential.
Stabilization – Waterford is evaluating whether to sell or hold the asset now that it is fully leased.
2ND STREET PORTFOLIO CASE STUDY
1246, 1260, and 1275 2nd Street, Long Beach, CA
Identification – Waterford utilized a relationship with a local sales broker to acquire a 14 unit
apartment project off-market in the Alamitos beach submarket of Long Beach. It then utilized its
relationship to acquire the two 20 unit projects across the street off-market as well to secure 54 total
apartment units.
Evaluation – Waterford utilized its strong market knowledge to underwrite the opportunity quickly and
realize the apartments were clearly under market from a rent standpoint if the projects were re-positioned.
Business Plan – Waterford felt the project could be re-positioned by bringing the current units up to
Class A standards while activating the common areas of the projects as much as possible. The units had
not been touched in over 40 years so everything was dated at the projects.
Capitalization – Waterford partnered with a syndicate of private high net worth individuals to acquire
the project within 60 days of going under contract.
Asset Management – Waterford hired best in class architects and general contractors to reposition
the asset as a B+ to A- apartment project for tenants seeking a new unit in the greater Long Beach coastal
area. Waterford was able to attract Millennial tenants who wanted a Class A environment but wanted to
pay a slight discount in rent without sacrificing quality.
Stabilization – Waterford sold all 54 units 2.5 years after acquisition for a cumulative 1.60x project
level equity multiple.
PARC DERIAN CASE STUDY
16201 Derian Ave, Irvine, CA
Identification – Over the course of one year Waterford worked closely with Lennar to solve its
required inclusionary housing obligation for its Park Place community in the City of Irvine. Through its
market knowledge and relationships Waterford in conjunction with its partner C&C Development
formulated an “offsite” inclusionary housing concept that provided a more efficient financing structure to
build the affordable units while providing the City of Irvine 20 additional units over what was originally
required.
Evaluation – Waterford used its deep expertise in Low Income Housing Tax credits (LIHTC) projects
to structure the transaction to make it a win-win for Lemor and the city of Irvine.
Business Plan – Waterford planned and programed a highly amenitized 80 unit affordable housing
project to target lower to middle income renters who work in Irvine.
Capitalization – Waterford used Low Income Housing Tax Credits and Bond Financing, through
Bank of America.
Asset Management – Waterford, along with its partner, C&C Development, was able to lease the
entire project within 30 days of completion.
Stabilization – Waterford will hold this property with its partners on a long term basis.
HALLMARK AT MISSION CASE STUDY
1201 and 1225 W. Mission Blvd, Ontario, CA
Identification – Waterford utilized a relationship with a local sales broker to acquire a newly
developed 75 unit apartment project before the major bidding process began in the Ontario submarket of
the Inland Empire.
Evaluation – Waterford utilized its strong market knowledge to underwrite the opportunity quickly
and realize the apartments were clearly under market from a rent standpoint due to the current developers
aggressively leasing units at below market rents to stabilize the asset to pay off their construction loan.
The developer was over budget and behind schedule on the development and needed to lease and sell it
quickly.
Business Plan – Waterford felt the project could be re-positioned by doing modifications to the
current units and common areas of the project to bring them up to today’s Class A standards to better
position the asset to achieve the rent premium a newly built project should expect.
Capitalization – Waterford partnered with a high net worth investor to acquire the project within 60
days of going under contract.
Asset Management – Waterford hired a best in class general contractor along with a local design
firm to reposition the asset as a B+ to A apartment projects for tenants seeking a new unit in the greater
Ontario area.
Stabilization – Waterford will stabilize the project with higher in-place rents and then hold it for the
long term.
MISSION LAKES CASE STUDY
3600 Lime Street, Riverside, CA
Identification – Waterford utilized a relationship with a local investment sales broker to acquire the
82,000 SF Office and Retail campus off-market in May of 2015 from an Institutional seller looking to
dispose of the asset after purchasing a pool of notes related to a portfolio of Office properties on the West
Coast.
Evaluation – Waterford utilized its strong market knowledge to underwrite the opportunity quickly,
realizing the existing landlord had stopped aggressively pursuing lease transactions causing occupancy to
fall to 65% while also realizing the existing restaurant on site, Hero’s, has sales per square foot much
higher than its competitors.
Business Plan – Waterford felt the project could be re-positioned well by enhancing the common
areas of the projects while investing capital into Spec Suites that were move-in ready for tenants.
Waterford also developed a plan to put the restaurant on its own parcel to sell off separately to unlock
greater value while creating a new association to govern the entire project.
Capitalization – Waterford partnered with a syndicate of high net worth investors to acquire the
project with debt from a national insurance company for $10M within 60 days of going under contract.
Asset Management – Waterford hired best in class architects and general contractors to reposition
the asset as the highest quality Class B Office asset for smaller to mid-size tenants in Downtown
Riverside. Waterford was able to immediately increase rents at the project almost 15% and increase
occupancy within 24 months to almost 90%.
Stabilization – Waterford sold the restaurant off successfully after the parcel split was complete and
then sold off the office portion to a separate investor. Over a 3.5 year hold period, Waterford achieved a
1.68 equity multiple for its investors.
TOWERS AT RIVERWALK CASE STUDY
Towers at Riverwalk, Riverside, CA
Identification – Waterford utilized a relationship with an investment sales broker to acquire the 98%
leased 196,000 SF two building Office campus from an institutional seller.
Evaluation – Waterford utilized its strong market knowledge to underwrite the opportunity quickly and
realized the sub-market was one of the best performing sub-markets in Southern California.
Business Plan – Waterford felt the project could achieve higher market rents given the quality of the
asset coupled with the lack of competitive options for tenants in the submarket.
Capitalization – Waterford partnered with an Institutional real estate equity fund to acquire the
project all cash for $32M within 30 days of going under contract.
Asset Management – Waterford immediately begin working with one of the existing tenants at the
project to sell them their current building as they had a desire to be a long term owner. Waterford sold
them their building exactly one year after acquiring the project at a 25% profit. Waterford also renewed
and expanded the majority of the tenants in the other building within the first 12 months of ownership
Stabilization – Waterford is under contract to sell the remaining building to the same user for a higher
price off market. The deal level equity multiple will be 2.1 and the IRR will be above 45% on a 2.5 year
hold. The transaction is scheduled to close in December of 2019.
LEADERSHIP
JOHN DRACHMAN
CO-FOUNDER
PRESIDENT OF COMMERCIAL DIVISION
John Drachman is responsible for the firm’s commercial division and capital raising activities. Since starting his
predecessor firm, Stillwater Investment Group, in 2014, Mr. Drachman has acquired and been a partner in over
$650 million of office, retail, and apartment assets in Southern California. To acquire these assets, Mr. Drachman
has created and developed joint venture partnerships with high net-worth private investors, family offices and
institutional equity funds while leveraging his strong relationships within the brokerage community to source
opportunities. Prior to founding Waterford, Mr. Drachman was a Vice President with Greenlaw Partners in Orange
County, where he sourced and managed a portfolio of real estate assets throughout Southern California and Arizona. Mr. Drachman began his
career as a commercial real estate broker with Grubb & Ellis. Mr. Drachman earned his Bachelor of Business Administration from the University
of Arizona. He went on to earn his MBA degree as well as his Master in Real Estate Development from the University of Southern California
where he is now an adjunct faculty member. He is an active member of NAIOP, and an avid swimmer and golfer. He currently resides in Newport
Beach with his wife, Laura, and their two children.
SEAN RAWSON
CO-FOUNDER
PRESIDENT OF RESIDENTIAL DIVISION
The Co-Founder of Waterford Property Company, Sean Rawson, has sourced, entitled and developed over $500
million in real estate transactions over his career. Prior to forming Waterford Property Company and its predecessor
companies, Mr. Rawson was the Southern California President for a leading privately owned multifamily
development company where he developed over $150 million in projects over his tenure. Mr. Rawson is an expert
in affordable housing where he structured the two largest tax exempt bond deals and tax credit equity transactions
in Orange County in 2012. Prior to his time working in the multifamily development industry Mr. Rawson began
his career with The Concord Group, a market advisory firm in Newport Beach, CA where he conducted market and financial feasibility analysis
for homebuilders, developers, private equity groups and lenders. Upon leaving The Concord Group, Mr. Rawson became a Vice President at
O’Donnell/Atkins a leading land brokerage firm where he worked on teams that transacted in excess of $500 million in projects over a five year
period. Mr. Rawson earned a Bachelor of Arts degree from Claremont Mckenna College and an MBA from the University Of California Irvine
Merage School Of Business where he has been a guest lecturer and is on the Board for the Center for Real Estate.
LEADERSHIP CONTINUED
YASHAAR AMIN
PARTNER / COO
As a partner with Waterford Property Company, Yashaar Amin brings over 15 years of broad-based real estate
experience encompassing all aspects of real estate investment management and operations. Today his primary
focus is on acquisitions, asset management and project management. In his career, Mr. Amin has held key
executive roles within real estate private equity, family office and national brokerage companies where he has
been responsible for all the long-term strategy as well as the day-to-day execution involved in owning and
operating real estate. Mr. Amin leverages this background to drive value for Waterford’s investments and their
partners. Prior to Waterford, Mr. Amin ran a Los Angeles based institutional real estate fund at RP Realty
Partners, at the time a portfolio of nearly 2 million SF. While also at RP, Mr. Amin handled asset management, leasing and development on
behalf of The L&R Group of Companies, one of the largest privately held parking companies in the U.S. and among the largest real estate
owners in Downtown Los Angeles and off-airport locations nationally. Mr. Amin also ran acquisitions and asset management for the real estate
group within The Wonderful Company on behalf of the Resnick Family in Los Angeles. In addition, Mr. Amin worked for over five years in
both LA and NYC as a broker and property manager with Grubb & Ellis, along with prior experience as a construction manager for NYC based
Bovis Lend Lease. Outside of work, Mr. Amin is a founding member of Building Hope within City of Hope’s LA Real Estate Council, and
received his MSRED from Columbia University and BA from UC Irvine. Mr. Amin and his wife live in Laguna beach with their two young kids.
PHIL CHRISTIAN
VICE PRESIDENT
Phil Christian is responsible for the growth strategy and business plan implementation of Waterford Property
Company’s Residential portfolio. This includes asset management and all operations of resident management,
construction management and accounting. Previously, Mr. Christian was a real estate broker with CBRE's
Occupier Practice Group with a focus on corporate occupier clients in the Western Region. Prior to joining
CBRE, Mr. Christian was recruited by former US Ambassador George L. Argyros and served as his Executive
Aide before being promoted to Commercial Leasing Director and Regional Property Supervisor, overseeing
Arnel & Affiliates’ apartment portfolio. Mr. Christian is a graduate of Chapman University where he played
NCAA Football and has served on the Alumni Board of Directors. He is a former member of the Orange County Lincoln Club and actively
participates in local politics.
LEADERSHIP CONTINUED
SCOTT SCHARLACH
PARTNER
Scott Scharlach is responsible for all aspects of Waterford Property Company’s Arizona region. This includes
acquisitions, asset management, leasing and sourcing both debt and equity capital. Prior to joining Waterford,
Mr. Scharlach co-founded Progression REI, a boutique investment firm specializing in the acquisition and
management of retail shopping centers throughout the Southwest. While at PREI, he assembled and managed a
portfolio of seven properties totaling over 1.1 million square feet and nearly $130 Million of transaction value.
Mr. Scharlach’s prior experience includes working on the Western region acquisitions team at Bentall Kennedy (now
Bentall GreenOak), as well as an office leasing broker with CBRE in downtown Los Angeles. He lives in Downtown
Scottsdale with his wife and daughter, and holds an MRED, Price School of Public Policy; and a B.S. Business
Administration, Marshall School of Business, from the University of Southern California.
DEBRA PEMBER
PROJECT MANAGER
Debra Pember handles Project Management, overseeing and ensuring that our construction projects are built on time and in
strong coordination with our equity partners and lenders. Mrs. Pember has worked in the building industry for over 35 years,
starting with Fredericks Development, a multi-family builder. Her experience continued with small and large, private and
public companies where she worked in project management, including land feasibility, entitlements, construction and tenant
improvements, through certificate of occupancy and release of securities for over 200 residential and multifamily
communities. Mrs. Pember’ entrepreneurial tenacity made her a survivor through the cyclical challenges of the building
industry. She’s continued as a consultant to investors, developers, builders and contractors, for the past ten years. Mrs. Pember
has volunteered and served as a director on many different boards of the Building Industry Association from 1985 through
2017, at local, regional and state levels. During the last couple of years, she has volunteered her time in local community efforts, including non-profits and
participating in the steering committee for Open Coyote Hills, a 510-acre site in Fullerton, owned by Chevron. During her building experience, Debra earned a
certificate in Light Construction and Development, a two-year program through UCI. She’s been a Fullerton resident with her husband, for over 28 years.
VIRGINIE NORWOOD
OFFICE MANAGER
Virginie Norwood is the Office Manager at Waterford Property Company. She provides high level administrative support to
the team and manages the office operations in both California and Arizona. Prior to working at Waterford, Ms. Norwood
worked in the Real Estate industry for several years as the Office Manager for a large brokerage firm and maintains her real
estate license. Previously to that she worked as a translator. Originally from Paris, France she has lived in Southern
California for over 25 years. She volunteers in various local charity groups and is also a licensed notary. Ms. Norwood lives
in Costa Mesa with her daughter.
STRATEGIC PARTNERS
In order to be a best-in-class real estate developer and operator, Waterford has created strategic partnerships with leading companies across the real
estate industry. Waterford recognizes it takes a strong team to ensure that each real estate project achieves its full potential. These strategic
partners help us to excel.
Residential Construction Management Commercial Construction Management Certified Public Accountants Residential Design Services Joint Venture Partner Residential Property Management
Real Estate Attorneys Brokerage Services Project Management Consulting Architectural Services Commercial Property Management Debt Advisor
Marketing & Branding Joint Venture Equity Partner Joint Venture Equity Partner Brokerage Services Joint Venture Equity Partner Brokerage Services
Real Estate Lender Real Estate Lender Real Estate Lender Joint Venture Equity Partner
130 NEWPORT CENTER DRIVE, SUITE 230
NEWPORT BEACH, CA 92660
949.529.3530
WWW.WATERFORDCO.COM
