Evolve seeks to raise £50m for commercial property launch

Evolve Fund Services is seeking to capitalise on a recovery in the UK commercial property market with the launch of the All Saints fund.

The All Saints fund aims to achieve a distribution of 5-7% per annum and an anticipated total return of 10-12% per annum and will have a seven-year time horizon. The firm is seeking to raise £50 million and have planned the first closing date before Christmas.

Hugh Colville, co-founder of Evolve, will manage the fund. He will acquire a balanced portfolio of prime property across a range of sectors, favouring strong covenant tenants, long- term leases and some RPI linked rent increases. It may have exposure to supermarkets, student and healthcare related accommodation, joint ventures, mezzanine funding and indirect investment.

Colville said the firm have waited over four years to return to the commercial property investment market, pointing to a combination of the 40-50% fall in values from the mid 2007 peak and plan to 'benefit from unique market conditions'.

He added: 'We intend to be as opportunistic as possible in our acquisitions but will be keeping the gearing below 50%.'

The fund will be structured as a limited partnership.

Colville has 17 years' experience in the property industry as a qualified chartered surveyor and co-founded evolve. Prior to this, he worked at Savills where he was a director of the commercial investment department.