Oxford Real Estate Advisors (OREA) provides investment advice to private real estate investment funds and partnerships. OREA identifies investment opportunities, assists in negotiations, and manages investments. OREA also provides consulting services for real estate disposition and repositioning through its affiliated company, Oxford Development Company.
OREA's compensation is a percentage of the fund clients’ equity that it manages. This management fee is payable quarterly and is negotiable with each client. The fee typically ranges from 1.50% to 2.00% of committed capital during the investment period. After the investment period, the fee is assessed as a percentage of the invested capital of the fund (less any permanent write-downs). OREA may also receive an incentive fee, generally at the time of dissolution of the partnership, which is based upon the investment performance of the fund. This performance fee is negotiable with each client and is typically 20% of the net profits of the fund above a prescribed preferred return.