Building upon the successful strategies of SAP I and II, Sterling and American created Sterling American Property III in April 1999 with a basic capital commitments of $172 million, including a $20 million commitment by the principals of Sterling and American.
- SAP III and its co-investors invested a total of $552 million in 35 transactions between 1999 and 2003. These investments utilized $449 million of debt and $216 million of equity capital. SAP III contributed $159 million and co-investors contributed $57 million.
- SAP III’s strategy was consistent with SAP II’s successful strategy of acquiring assets with a focus on managing business and financial risks to protect capital, while achieving attractive returns.
- The Fund utilized an average debt to capitalization ratio of approximately 63%.