Pan-European alternative asset manager Arrow Global Group Capital Management has secured a $400 mln (€370 mln) commitment from a wholly-owned subsidiary of the Abu Dhabi Investment Authority (ADIA) for its European real estate lending strategy.
The deal expands the relationship between Arrow Global and ADIA, with an ADIA subsidiary also an existing investor in Arrow Global’s opportunistic credit strategy.
Zachary Lewy, founder, CEO and chief iInvestment officer, Arrow Global, said: 'This agreement with ADIA to commit to our flagship European real estate lending strategy comes at an ideal moment for living sector assets.
'In a market that is looking to private credit lenders for capital, this is a prime opportunity to provide senior secured capital to borrowers delivering high-quality, liquid assets that are in short supply and high demand.'
Arrow owns 22 platform capabilities across Europe including Maslow Capital and has €95 bn in servicing assets under management.
Arrow’s recent deals include the structuring of a £29 mln (€34 mln) bridge loan to refinance a recently completed 35-flat residential development in London and a £129 mln loan for the development of a high-end 477 apartment complex in Manchester.
These deals formed part of a total lending volume of over €1.2 bn in 2023 which, to date, has financed the development of more than 18,000 units.
Mohamed Al Qubaisi, executive director of the real estate department at ADIA, said: 'Arrow Global’s European real estate lending strategy is well-aligned with the market’s shift toward more flexible and reliable real estate financing solutions, and Arrow's strong track record makes it an attractive investment opportunity.'
