FORM 20-F/A Brookfield Property Partners L.P. - Brookfield Asset ...

properties that we believe have significant value-enhancement potential through the application of dedicatedhands-on asset management and operational expertise. As of March 31, 2012, we owned interests in severalindustrial properties in the United States consisting of approximately 3 million square feet of industrial space. As ofMarch 31, 2012, our multi-family and industrial platform represented approximately 1% of our total IFRS Value.Opportunistic Investment PlatformOur strategy for our opportunistic investment platform includes:• Pursuing an opportunistic investment strategy. We invest in assets with a view to maximizinglong-term, risk-adjusted return on capital by pursuing an opportunistic strategy to take advantage ofdislocations and inefficiencies at all stages of the investment cycle. We seek to acquire positions ofcontrol or influence in individual properties, real estate holding companies and distressed loans,with a focus on large, complex, platform acquisitions, which we believe Brookfield is uniquelypositioned to source and execute.• Providing strong sponsorship. We invest in opportunities that we believe leverage Brookfield’scompetitive strengths, such as deal sourcing, financial or restructuring expertise or operationaladvantages. Our opportunistic investment platform makes investments primarily in Brookfieldsponsoredreal estate opportunity and finance funds. We expect to be the lead investor whenBrookfield raises its flagship opportunistic private real estate fund. We believe that these fundsprovide a significant growth platform for us to participate in large-scale, opportunistic transactionsalongside private institutional partners by providing us with access to transactions with thepotential for significant returns. We hold the largest limited partner interest in almost all of thefunds in which we are invested, and we expect that we will typically be the lead investor in thesefunds in the future. See Item 7.B. “Major Shareholders and Related Party Transactions — RelatedParty Transactions — Relationship with Brookfield”.• Providing operating excellence. We seek to create long-term value by building long-termsustainable revenues and stabilizing assets through operational, financial structuring and otherimprovements in our portfolio assets.• Diversifying geographically. We seek to build a diversified portfolio of real estate assets inemerging and growth markets by targeting global opportunities where we believe a market offersattractive risk-adjusted returns. Initiatives underway include opportunistic acquisitions of largescale,distressed corporate platforms and non-performing loan portfolios in the United States,Europe and Australia, office development opportunities in Brazil, distressed and developmentopportunities in the Middle East and local real estate investment strategies in India.Our opportunistic investment platform pursues opportunistic investments predominantly in distressed andunder-performing real estate assets and businesses and in commercial real estate mortgages and mezzanine loans.As of March 31, 2012, we held interests in a diverse portfolio of funds with approximately $1.8 billion ofinvested fund capital. Through these funds, we have interests in approximately 11 million square feet of officespace, mezzanine loans and other real estate assets located in North America, Europe, Australia, Brazil andemerging markets. Depending on the nature of our investment and the specifics of the underlying assets, we mayseek to hold and/or enhance the assets we invest in or sell the assets in order to realize a return on our investment.Once an asset has been sufficiently developed and its risk profile stabilized, we may determine to hold the assetthrough our office, retail, or multi-family and industrial platform as a long-term, stable investment.As at March 31, 2012, our investments in opportunity funds, which primarily invest in distressed andunderperforming real estate assets and businesses, had an IFRS Value of approximately $385 million, and ourinvestments in finance funds, which primarily invest in commercial real estate mortgages and mezzanine loans,55