In this age of transparency, bottom line accountability is placing more value on corporate real estate. By recognizing real estate’s potential as an asset on the balance sheet, companies can better incorporate it into the overall business strategy. Through this new approach to corporate real estate, JCP will assist companies to reevaluate “lease vs. own” balance and core property leases in order to find credit opportunities that can be leveraged to reduce the overall cost of occupancy. Part of this process may include developing a subsidiary or joint venture that would let companies essentially choose their landlords. Unlike traditional asset managements, this consolidated entity allows companies to keep control of assets and generate shareholder value.
One of the ways to acquire and /or purchase properties without them showing as balance sheet liability is through our patented Internal Lease Preferred Stock. If structured correctly, this approach can not only create an advantageous financing and accounting treatment for the currently owned assets, but also provide a mechanism and capital source for acquiring new core properties or financing capital improvements.