Crimson Capital was developed out of investor demand for direct investment in real estate. The partnership was created from an existing private portfolio of over 500,000 square feet of real estate acquired over 20 years. Crimson Capital was developed as an investment arm for individuals and institutions interested in the benefits of real estate as an asset allocation, but unable to spend the time and effort required to acquire commercial property directly. In the past, direct investment in real estate has shut out investors who either do not meet qualified investor status or cannot make the large minimum investments required. These restrictions have traditionally left investors with few options for investing in real estate. Public REITS are subject to stock market volatility and Private REITS are often subject to inordinate fees for small investors, who also face agency problems because of the lack of co-investment by the Private REIT Operator. Crimson Capital seeks to make private investment available to those investors at a lower minimum investment threshold than the open market, in an environment where Crimson Capital’s co-investment perfectly aligns ownership and management incentives to maximize value.
Principals:
Joseph R. Prestifilippo Jr., co-founder of Crimson Capital. In conjunction with co-founder Stephen Malley, Mr. Prestifilippo is responsible for the day-to-day operations of Crimson Capital and the management of its 750,000-square-foot real estate portfolio. These duties include: identifying potential investment properties, evaluating risk and return profiles, negotiating contract terms, securing financing, and managing relationships with existing corporate tenants. Prior to founding Crimson Capital, Mr. Prestifilippo was the Director of Acquisitions and Management for Holiday Investments, the predecessor to Crimson Capital. During his three years with Holiday Investments, Mr. Prestifilippo acquired 180,000 square feet of retail space in New Jersey, Maryland and Louisiana on behalf of private investors. Mr. Prestifilippo holds a B.A. in Psychology from Harvard University and a J.D. from Seton Hall Law School. He is admitted to practice law in New Jersey and is a member of the New Jersey and American Bar Associations.
Stephen R. Malley, co-founder of Crimson Capital. Mr. Malley shares the aforementioned duties of running Crimson Capital with Joseph Prestifilippo. Since Crimson Capital’s inception in 2004, Mr. Malley and Mr. Prestifilippo have been responsible for the acquisition of more than $40M of property and $45M in new financing. Prior to founding Crimson Capital, Mr. Malley worked in the Acquisitions group at JPMorgan Real Estate and was involved in transactions totaling more than one billion dollars of gross investment. He has experience in acquiring office, residential, retail, and industrial properties, and in developing residential and commercial properties. Mr. Malley holds a B.A. in Economics, with Honors, from Harvard University.
