Global real estate investor Quadreal has acquired an interest in real estate development lending platform Précis Capital Partners, inking a commitment to deploy up to £1 bn (€1.1 bn) into its development loans.
TowerBrook, Précis Capital’s founding institutional shareholder, retains a significant shareholding. Précis Capital is concurrently rebranding as Precede Capital Partners.
Randeesh Sandhu, CEO and co-founder of Precede Capital, said: 'We are delighted to partner with QuadReal as we enter the next stage of our evolution as a reliable financing partner to high-calibre borrowers.
'Our specialist team has built a reputation for successfully structuring large and complex financial solutions, and this partnership with a leading global institution is a strong endorsement of our track record.
'We look forward to working closely with QuadReal as we continue to back sponsors and developers delivering best-in-class living assets.'
Since its launch in March 2021, Precede Capital (then Précis Capital) has originated and arranged loans totalling £1.5 bn to finance the construction of residential properties in the UK.
This new partnership with QuadReal is expected to further enhance the opportunity to provide whole loan financing solutions. With the new investment, Precede Capital expects to arrange an additional £3 bn+ of loans through capital structuring via syndication and leverage.
Jay Kwan, managing director, head of Europe for QuadReal, said: 'The living sector is one of the key pillars within our global areas of conviction.
'Partnering with the deep bench of seasoned professionals at Precede Capital in this area, at this time, is a natural extension of both investment priorities and advancing our real estate credit business to the UK from within North America.'
Joseph Knoll, managing director at TowerBrook, said: 'We are excited about partnering with QuadReal and the new growth opportunities it will open for the Precede platform.'
Precede Capital was advised on the transaction by Greenburg Traurig and JLL Corporate Finance. QuadReal was advised by K&E, Deloitte and Mourant Ozannes. TowerBrook was advised by Goodwin Proctor and PwC.
