REAL ESTATE
“Owning a home is a keystone of wealth…both financial affluence and emotional security.”
WHAT WE CAN DO FOR YOU.
Invest
We invest equity or preferred equity into projects either unilaterally or alongside institutional or private investors, from £1m upwards.
We do not provide senior debt, however we will raise external funding from specialist third party relationship lenders where it is prudent to do so.
Manage
We acquire sites and assets unconditionally where there is an opportunity to add value through asset management, planning or development gain.
We have a multi-sector approach and invest in residential (including the specialist sub-markets of aged care, assisted living, PBSA, retirement living and PRS/ build to rent), offices and light industrial. In all cases we can take on the role of developer or asset manager as required.
Structure
We provide financial structuring, litigation co-ordination and rescue strategies for existing investors or lenders of assets in administration or liquidation.
HOW WE ADD VALUE.
Invest
We invest capital in partnership with institutional investors, developers or contractors. We are flexible as to investment structure, but typically investment takes one of two forms:
Equity – we provide up to 100% of the equity required to acquire a site, or up to 90% if in partnership. Partners can provide the balance either with cash (or land if a site is already owned by the partner), or by granting security over other assets. We can source third party debt either to complete an acquisition, or to refinance equity post-acquisition.
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Preferred Equity – this encompasses flexible, bespoke funding that reduces the level of equity required by a property owner, sitting between equity and senior debt. It can be made available for very short periods if required, ie in order to effect an acquisition or to take an asset through specific parts of the value-add process.
Manage
We take planning, development and occupier market risk in either the development role ourselves, or selectively in joint venture with investors, developers or contractors.
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We are not long term holders of the assets we create, and will seek an exit once the value has been added.
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Exit routes might include forward-funding, forward-sales, or open market sale of the completed asset.
We have many years of experience in buying under-managed or neglected assets and repositioning them to appeal to a wider or more institutional investor base. Typical areas of focus include occupier management, lease regearing, modernisation and refurbishment, reconfiguration, change of use, or redevelopment.
Structure
We restructure projects that may have been over-leveraged or improperly implemented to the detriment of their existing investors.
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The Nicholson VC team, unusually for a real estate investor/ developer, is highly experienced in the complex areas of financial structuring and litigation management, and can demonstrate the creation and management of successful turnaround strategies, including at FTSE 100 corporate board level.
Having both equity capital and the relevant in-house expertise, we are ideally placed to structure and deliver ‘rescue’ packages for failing projects of any scale.