Rockspring Property Investment Managers has announced the final close of its UK Value 2 fund, having secured £342 mln (€457 mln) of equity commitments in only eight months.
Rockspring Property Investment Managers has announced the final close of its UK Value 2 fund, having secured £342 mln (€457 mln) of equity commitments in only eight months.
The fundraise - the fastest in Rockspring's 30-year history - involved a total of 11 investors comprising institutions from Australia, Finland, Germany, the UK and Denmark.
The fund will have a duration of seven years and a target internal rate of return of 12.5% per annum. It will be 50% geared to provide a total firepower of £650 mln.
UK Value 2 will target core-plus opportunities across the UK and follows on from the fully invested Rockspring UK Value Fund which was launched in 2009. To date, seven acquisitions have been made on behalf of UK Value 2, bringing the total value of the assets in the fund to over £200 mln.
The portfolio includes Peter House, in Manchester, acquired for £23.7 mln; Cambridge Research Park, Cambridge, acquired for £21 mln; Bramley shopping centre, Leeds, acquired for £18.5 mln; Guildhall, Glasgow, acquired for £29 mln; Maskew Retail Park, Peterborough, acquired for £37 mln; Orchard Shopping Centre, Taunton, acquired for £27.5 mln and £15 mln invested in strategic development land in partnership with Barwood Development Securities.
Richard Bains, Rockspring partner and fund manager of the UK Value series, commented: 'Our ability to access quality assets - on a predominantly off market basis - has ensured the swift investment of nearly a third of the fund’s capital to date and I am confident that, with the pipeline we already have in place, we will be able to meet our target of securing £650 mln of assets by the summer of 2016.'
