Boutique investment firm Clarendon House Capital has announced plans to build a €420 investment portfolio of London commercial and residential assets.
In what is considered to be an endorsement of London's prime property market, Mayfair-based Clarendon House is raising investment capital from its super-wealthy clients to pour into one of the world's richest property markets.
The UK's capital city continues to attract investment from ultra-rich foreign investors and private equity funds, with Sayu Sinha, investment banker and co-founder of Clarendon House clearly seeing further growth potential.
He said: "The investor demand for London property is unabated and the challenge lies not in raising equity but in finding real value. We are confident that the marriage of our private client background and in-depth property market knowledge translates into market-beating returns".
Clarendon House has raised more than €70m from its high-net-worth client base of individuals, family offices and institutional clients in India, Africa, Europe and the UK.
The investment fund will initially make acquisitions in cash with the intention of refinancing the portfolio at a later stage, with a maximum leverage of 60%.
The boutique investment firm is run by Sayu Sinha together with Richard Morgan who will be seeking to make opportunistic transactions in London's prime residential and commercial property markets, with lot sizes up to €13m.
Since the firm was launched by the duo in 2012, Clarendon House Capital has invested in excess of €100m on behalf of clients, delivering an average return on equity of a whopping 35%.
Foreign investment in London was at an all-time high in 2014 as non-EU buyers sought sanctuary for their capital in safe-haven property markets in the west. Inflows from Russia declined towards the end of 2014 as the rouble slid into crisis whereas buyers from Asia, particularly China continue their foray into one of the world's most expensive real estate markets, with no sign of stopping.