BauMont Real Estate Capital has made its first investment in the UK with its operating partner Addington Capital.
The real estate private equity firm – set up by former CarVal Investors directors in 2017 – has bought a £37m (€42m) residential portfolio on behalf of BauMont Real Estate One (BREO), the manager’s debut fund which raised €337m in March.
The portfolio includes 182 apartments of mostly converted Victorian and Edwardian houses in South London let on assured shorthold tenancies.
The portfolio was acquired from a private family office.
BauMont said Addington’s sister company AddLiving will provide property management services.
Natalie Harrison, UK investment director at BauMont, said: “Given its characteristics, the portfolio will be resilient and offer well-located, good quality affordable homes in an undersupplied segment of the market.
”We are delighted to be working with Addington who are experienced in managing this type of portfolio and have an excellent track record.”
Matthew Allen, principal of Addington Capital said: “We continually look for value-add opportunities in the sector and have recently been focused on the Greater London residential market, which has been subdued for many years but offers strong fundamentals.
“This portfolio offers opportunities through the refurbishment of the existing stock and new development. We are delighted to be working with the BauMont team.”