CORPORATE PROFILE

Younan Properties Inc. (YPI), based in Los Angeles, CA, is a commercial real estate investment company focused on leveraging our unique expertise to improve underperforming properties. YPI specializes in acquiring, repositioning and managing office buildings throughout the country. Through a combination of a thorough understanding of property management, leasing management and specific market insights, YPI has the unparalleled ability to turnaround underperforming assets. YPI has the expertise to proactively make value-added property improvements, accelerate leasing efforts to attract tenants, manage operating costs and generate more efficient utilization of acquired buildings. As a result, YPI has delivered exceptional rates of return to its investors while creating exceptional work environments.

YPI’s track record in property leasing and management has exceeded industry standards. After YPI gains control of an asset, the properties are rapidly repositioned to consistently operate well below market expenses and above market occupancies. Additionally, YPI has the ability to identify, analyze, negotiate and close transactions much quicker than its competitors.

YPI has the expertise to identify opportunities in the commercial real estate market and the financial strength to act upon them. YPI’s management team has extensive experience in, and remains dedicated to, acquiring and repositioning underperforming properties. As a result of this superior set of skills, YPI has become one of the fastest growing private commercial real estate investment companies in the country today.  

Younan Finance Group is a commercial debt group and opportunity fund to acquire underperforming commercial loans backed by Commercial Real Estate. The Younan Finance Group initially will invest up to $200 million in underperforming loans and distressed office properties throughout the country in transactions ranging from $5 million to $100 million. The fund will acquire mis-priced mezzanine loans, B notes, whole loans and nonperforming first mortgages backed by Commercial Real Estate.

The current instability in the debt markets and the inability of lenders to hold an underperforming loan while the property is stabilized provides an excellent opportunity for the company to acquire debt at discounted prices for key assets in major markets. Younan Finance Group acquires debt instruments where the Company actively assist in the management of the property. Increasing cash flows for the property will ultimately contribute to the asset’s ability to meet its debt obligations and provide Younan's investors with superior returns on their investments.
 

"One of our primary strengths is our ability to assess a property’s operating efficiencies and identify opportunities to reduce costs and increase an asset’s value. Historically, we have significantly reduced operating costs by applying proven efficiencies and process controls. Using our proprietary practices, we have generated positive cash flow in buildings even where there is a combination of low occupancy and high leveraged debt ratio."                             Zaya S. Younan, Chairman and Chief Executive Officer

Since January of 2008, the market for commercial mortgage bonds has frozen, as spreads on top-rated paper have swelled to levels customarily seen in the high-yield debt market. Many investment banks are looking to sell a huge inventory of commercial mortgages that were originated before the credit crunch took hold and now are under significant pressure to perform.

The acquisition of underperforming debt is a natural extension of Younan’s business.Younan Properties has significant experience with distressed assets in both acquisition and turn-around situations.  The company employs a proprietary operational strategy that differentiates it from traditional lenders and owners. Younan’s size and reputation as one of the leading real estate owners and investors also gives it access to unsurpassed deal flow. Its substantial financial resources ensure its ability to support ongoing investment in both real estate assets and debt market note acquisition.