So it expands our lens in terms of where we can work with our current customers. It expands the customers we can work with. The opportunity, therefore, for us is organic because we already are the leader in that market and have the distinctive skills. So this is an organic build an opportunity. Are there any real differences? The only thing when I talk to the team today, on average, the terms, that is to say the lease terms, the opportunities are probably a little better in Europe right now. So I’d say cap rates meet quality of credit, probably a little more attractive. But I don’t know if that’s statistically significant. At the end of the day, it’s really doing what we do so well here and taking it to this marketplace and putting a structure that is optimized for doing so in Europe.
Crispin Love: Great. Thank you. Appreciate for taking my question.
Operator: Your next question comes from Brian Bedell with Deutsche Bank. Please go ahead.
Brian Bedell: Great. Thanks. Thanks very much. Alan, you answered my question with Brendan’s question mostly. So I’m going to skip that one on go right to my follow-up. Maybe for Marc, you mentioned earlier in your prepared remarks about the rising consolidation in the alternative asset management business. Certainly, we’ve been seeing this — maybe if you can just talk about how you see that impacting your GP solutions business, the opportunities that you can get from that, whether there’s also within that vein, opportunities on the direct lending side, maybe combine the deal activity. And then just maybe thoughts around considering that thoughts around the potential for the — turning on Fund VI of – and GP stakes, whether that’s it sounds like that’s probably more 2025 event, but I just wanted to check in on that.
Marc Lipschultz: Absolutely. And thank you. The consolidation activity in alts is — it’s clearly noticeable, right? It’s happening in a pretty material fashion, and it seems like there’s continuing to be a lot of activity out there in terms of pending conversations, explorations people are having. And so a few implications of that. And your question hits right on probably the most substantial one, which is look, it’s clearly a tailwind for our GP strategic capital business. And I say that, I guess, in two ways. Most importantly, I was coming back to how do we deliver great results for our investors, we own a vast number of stakes in GPs, some of whom will end up selling themselves to other consolidated tours or other big pods.
We’ve already seen that, right? We’ve seen like a [indiscernible] get purchased, and that was a great result for us. Perhaps there’ll be some more IPOs, that tends to be a good path for us over time. So that consolidation is a lift in the potential valuation and realization of value in all our prior GP funds. So again start there, that’s good for our investors. It also presents new opportunities. Because on the other hand, you’re also going to have people where there’s one firm choosing to buy another and need capital to do it, right? So that’s another great motivation for working with our GP strategic capital business is to provide the capital you might need to be one of the consolidators. And so that creates more demand. We’re active on the GP stake side.
We have a lot of active conversations. We’re largely through the commitments, as you know, of investing Fund V. In fact, we even did a little bridge co-investment vehicle that we mentioned here before, just to kind of bring us from Fund V to now Fund VI, where we’ve done this close. So it should be an active area. It is clearly a favorable dynamic to have more consolidation activity, both for portfolio and for deal activity. So it’s a positive, exactly how much of a positive we’ll see as the year plays out, but it’s a helpful trend.
Alan Kirshenbaum: And on the Fund VI closing, just to close that out, Brian. We did our closing towards the end of the quarter. So we’ll start to see a positive management fee impact starting in 1Q.
Q – Brian Bedell: Great. Okay. Awesome. Thank you.
Alan Kirshenbaum: Thanks, Brian.
Operator: Your final question comes from Ken Worthington with JPMorgan. Please go ahead.
Q – Ken Worthington: Hi, good morning. Hard to imagine there’s any questions left, but I’ve got…
Alan Kirshenbaum: Bring it home strong.
Q – Ken Worthington: Yes. Real estate returns, you called out were negative in the quarter, triple net lease has held up really well versus other parts of the private real estate market this year and last year and the yield environment was sort of favorable in 4Q. So anything to kind of call out on the returns this quarter? Or what drove the negative. Thanks.
Marc Lipschultz: So look, this has been a really wonderful durable strategy by design. I mean that is our reason to be. That’s our value add and in high-risk on market, people it’s hard to get that signal through the noise. And obviously, in this environment, the signal comes through loud and this is a brand that performs in all markets, and we’ve seen that here. As for the loss — this very small loss this quarter. That was actually a portfolio has done really, really well. The slight negative for what it’s worth to a mark-to-market on the debt in our real estate business. But I — not to haggle which direction the aggregate result for the year is a pretty good template for where we are and where we’ve been. There was nothing peculiar about fourth quarter other than some peculiarities in this mark-to-market part, but nothing about performance. Performance remains extremely strong.
Q – Ken Worthington: Excellent. Thank you.
Alan Kirshenbaum: Thanks, Ken.
Operator: This concludes our question-and-answer session. I will now turn the call back over to Marc Lipschultz for any closing remarks.
Marc Lipschultz: Thank you all for your time. We really do appreciate the patience here this morning and spending the time with us. And we look forward to continuing to drive hard. We have a lot of work ahead, but we are excited about the starting point for this year and the opportunities and conditions to keep driving forward in our mission and goal to try to get to that $1 a share in 2025. Have a good day.
Alan Kirshenbaum: Thank you, everyone.
Operator: This concludes today’s conference. You may now disconnect.
