Business Details
31 Years
experience
Expert Real Estate Investment Solutions in Menlo Park, CA
Established in 1995, HG Capital operates as a privately held real estate investment firm dedicated to providing capital to experienced operating partners. Our primary focus lies in the Western United States, where we invest in commercial and residential real estate assets through joint venture equity, preferred equity, mezzanine debt, and participating debt investments. Our approach spans the entire real estate life cycle, encompassing acquisition, repositioning, development, note purchases, and recapitalization. With a proven track record of facilitating nearly 100 transactions totaling over $1.8 billion in completed value, we prioritize disciplined investment strategies and maintain strong relationships with local real estate professionals. Our principals direct all investment initiatives, leveraging fully discretionary funds to deliver tax-efficient, risk-adjusted returns.We specialize in small and mid-sized assets, capitalizing on market inefficiencies through active management and strategic partnerships. Our team's deep industry experience ensures continuous involvement from project inception to completion, distinguishing us from firms that delegate responsibilities across departments. We maintain institutional standards for fund governance while cultivating long-term relationships with operating partners and investors. Our principals' significant personal investments in the funds align interests with our stakeholders, reinforcing our commitment to transparency and performance. Over 25 years, we have built a robust deal pipeline and a reputation as a reliable capital partner in the Western U.S. real estate market.
Services
Real Estate Investment
Joint Venture Equity
Preferred Equity
Mezzanine Debt
Repositioning
Development
Note Purchases
Recapitalization
Details
- Year established: 1995
Highlights and features
- We have over 25 years of experience in Western U.S. real estate markets.
- Our principals maintain direct involvement in every investment from start to finish.
- We offer customized deal structures tailored to project-specific requirements.
- Our established relationships with local operating partners provide access to off-market opportunities.
- We align interests with investors through significant principal capital commitments.
Services
Real Estate Investment
HG Capital provides capital for commercial and residential real estate projects across the Western U.S. Our expertise includes identifying undervalued assets, structuring joint ventures, and implementing active management strategies. Investors benefit from tax-efficient returns through diversified portfolios spanning multiple property types and market cycles.
Joint Venture Equity
We form strategic partnerships with experienced operating partners to co-invest in real estate opportunities. This approach combines local market expertise with our capital resources, enabling efficient execution of acquisition, repositioning, and development projects. Our flexible structure supports tailored deal terms that maximize risk-adjusted returns.
Mezzanine Debt
HG Capital offers mezzanine financing solutions that bridge equity and senior debt requirements for real estate projects. These investments provide higher returns than traditional debt while maintaining priority over equity in repayment structures. Our mezzanine capital supports value-add strategies in both commercial and residential sectors.
Asset Repositioning
We specialize in revitalizing underperforming properties through targeted improvements and operational enhancements. Our repositioning strategy includes physical upgrades, lease optimization, and market positioning to increase asset value. This approach has delivered significant returns in industrial, self-storage, and R&D property sectors.
Recapitalization
Our recapitalization services provide fresh capital for existing real estate assets while optimizing ownership structures. This strategy allows property owners to unlock equity, reduce risk exposure, and implement new management initiatives. We focus on creating balanced capital stacks that align with long-term investment goals.
People
Henry J.H. Bandet
Founder and Partner
Founded HG Capital in 1995 after leading the Hunting Gate group. Holds Stanford degrees in Economics and Applied Earth Sciences. Originated $1.5B+ in Western U.S. real estate investments. Maintains California real estate broker license.
Andrew J. Jobst
Partner
Joined HG Capital in 1997. Structured over $1.5B in investments across 80+ transactions. Holds Stanford degrees in Biology, Economics, and Engineering Economic Systems. Oversees joint venture agreements and asset disposition strategy.
William R. Leiva
Chief Financial Officer
Brings 30 years of real estate finance experience from companies like Prometheus Real Estate Group. Negotiated $3.2B in loans with major financial institutions. Holds University of Notre Dame accounting degree.
Questions
What geographic areas does HG Capital focus on?
HG Capital specializes in real estate investments across the Western United States, including California, Arizona, and surrounding regions.
What types of real estate investments does HG Capital make?
We invest in commercial and residential properties through joint venture equity, preferred equity, mezzanine debt, and recapitalization strategies.
How does HG Capital source its investment opportunities?
We leverage long-standing relationships with local operating partners and maintain a robust deal pipeline to identify off-market opportunities.
What is HG Capital's investment timeline?
Our typical investment horizon ranges up to 8 years, allowing for comprehensive asset management and value creation.
How are investors' interests aligned with HG Capital?
Our principals invest over 10% of the capital in each fund, ensuring direct alignment with investor objectives and risk parameters.
