21 Aug 2018
Investec advises Brunswick Real Estate UK on acquisition of prime, family-owned London portfolio
Brunswick Real Estate UK, the new boutique real estate investment management business, has acquired from a family estate a portfolio of 13 prime London holdings.
Established a year ago by Nordic real estate company, Brunswick Real Estate, and leading real estate investment professionals, David Turner and Will Amies, Brunswick Real Estate UK will invest a total of £150 million in the portfolio, including the cost of acquisition, in a five-year asset management programme.
The portfolio, which has been held in the same ownership since the 1930s, includes three significant estates: Quadrant Business Centre and Lonsdale Road, a designated design hub, in Queens Park, north London, and Quadrant Courtyard in Weybridge, a popular mixed-use property with redevelopment potential.
The portfolio also comprises more than 100 residential units, including two purpose-built private rented sector (PRS) blocks in Twickenham and Surbiton, which mark Brunswick’s entry into the PRS sector in the UK.
The transaction was funded by Brunswick Invest, the principal investment arm of Brunswick Real Estate, in partnership with an international institutional investor. Debt finance was provided by Investec Structured Property Finance.
Brunswick has formulated a five-year asset management plan, focused on the Queens Park assets, which make up the majority of the portfolio by value, designed to add value through residential conversions, repositioning of assets and re-gearing leases.
Queens Park benefits from strong overground and underground connectivity to the West End, Central London and Canary Wharf and has experienced the highest property price growth in the UK since 1995.
CBRE advised the vendor.
David Turner, Founding Partner, Brunswick Real Estate UK, said: “Portfolios of this nature are exceptionally rare and its acquisition reflects our ability to source interesting opportunities for our investor base. The portfolio has been well managed but there are a range of opportunities to enhance its value and appeal through proactive asset management, working closely with our tenant partners and local stakeholders”.
Will Amies, Founding Partner, Brunswick Real Estate UK, said: “This is exactly the type of large and unique special-situation investment we are interested in making, alongside our thematic strategy, particularly in the private rented sector. We were able to complete this complex, off-market acquisition in just six weeks. We have access to significant firepower through Brunswick and its international partners and are looking to make further acquisitions this year”.
Joshua Weinstein, at Investec, commented: “This is a very granular, well-located portfolio with a strong income profile and represents a welcome opportunity to work with a team of highly experienced property professionals, supporting their ambitious asset management programme, as well the start of what will hopefully be a long-lasting relationship with Brunswick in the UK”.
Joshua Weinstein. Investec Structured Property Finance
t. + +44 207 597 5481 Joshua.Weinstein@investec.co.uk
James Whitmore / Jeremy Carey, Tavistock
t. +44 207 920 3150 email@example.com
t. +44 207 920 3150 firstname.lastname@example.org
David Turner, Founding Partner, Brunswick Real Estate UK
t. +44 203 69 69 152 email@example.com
Will Amies, Founding Partner, Brunswick Real Estate UK
t. +44 203 69 69 151 firstname.lastname@example.org
Notes to editors
Investec Structured Property Finance was founded in 1994, providing bespoke development and investment funding expertise for experienced property professionals. With specialist knowledge across the residential, commercial, mixed-use and student accommodation sectors, Investec partners with experienced property entrepreneurs with a proven track record.
Financing typically ranges between £5m to £75m, with Investec taking a realistic and flexible approach to evaluating project costs. During 2016 Investec lent in excess of £500 million and anticipates a similar level of activity in 2017.
Brunswick Real Estate is a market leading adviser and investment manager in the Nordic real estate sector with an offer that includes advisory and asset management with credit financing and real estate investments.
The investment banking advisory group combines in-depth knowledge of the Nordic real estate market with an investment bank’s capital markets expertise and financing edge. Business area Investment Management includes credit financing and real estate investment management. The credit financing funds are focused on secured financing of commercial real estate in the Nordic region. Real estate investment management includes a wide range of structures in commercial real estate, such as real estate funds, separate investment mandates for large institutions and international managers as well as the development of rental housing.
The team includes 100 real estate investment professionals in Stockholm, Malmö, Helsinki, Copenhagen and London as well as senior advisers with broad international expertise.
Brunswick Real Estate UK is a London-based real estate investment management boutique. It is run by founding partners, Will Amies and David Turner, in partnership with Brunswick Real Estate. It identifies progressive trends and seeks to invest directly in strategic, long-term joint ventures with niche operators, developers and partners creating robust, long-term platforms. It also invests in special situation opportunities through the Brunswick Invest proprietary investment programme, often alongside other JV investors.