Tristan's EPISO 3 takes UK portfolio out of administration for €192m

Tristan Capital Partners' EPISO 3 fund is acquiring a mixed portfolio of 144 properties across England and Wales out of administration for £153 mln (€192 mln).

Tristan agreed the deal with KPMG, which was overseeing the portfolio as the receiver.

The assets that European Property Investors Special Opportunities 3 (EPISO3) is acquiring are mainly retail with a mixture of high-street shops, convenience parades and centres. In addition there are a number of office and industrial assets as well as 250 apartments. The properties are currently 87% occupied, generating a net yield for the portfolio of 10.7%.

Peter Mather, managing director at Tristan Capital, said: 'Speed was of the essence in securing this portfolio, which offers plenty of scope to add value through creative asset management in keeping with the fund’s strategy. The final close of EPISO 3 earlier this year and the compelling business plan for the assets put together by the team within a tight deadline enabled us to transact swiftly to seize this opportunity.'

Tristan Capital has appointed Addington Capital as its asset management partner for the portfolio. JLL and Berwin Leighton Paisner acted for KPMG. Allsop, DTZ and Mayer Brown International advised EPISO 3.

EPISO 3
Tristan Capital capped the final equity raise for EPISO 3 at €950 mln in January after surpassing its original fundraising target by 25% and being oversubscribed by around €500 mln. Some 22 new investors joined 14 existing clients in participating in the fund, which seeks value-add investments and distressed opportunities arising from the shortage of debt and equity capital in the European real estate investment market.