Twitter icon Email alerts icon Latest News RSS icon Magazine icon Stay connected:

View the article online at http://citywire.co.uk/wealth-manager/article/a633630

Property debt investment fund targets 6% yield

by Isabella Nimmo on Nov 12, 2012 at 12:56

Property debt investment fund targets 6% yield

Intermediate Capital is targeting a yield of 6% from an investment company specialising in UK commercial property debt launched through its subsidiary ICG-Longbow.  

The ICG-Longbow Senior Secure UK Property Debt Investments fund will aim to raise £100 million through an initial public offering on the London Stock Exchange and will be capped at £250 million.

The investment company is aiming to capitalise on estimates there will be a £44 billion shortfall in the supply of senior debt in the UK commercial property sector. It will make new individual loans with a maximum exposure of 65% loan to property value.

The fund aims to be fully invested within six to nine months of launch as it strives to hit its yield target.  

The chairman of ICG-Longbow, David Hunter, said in a statement, ‘This new vehicle will aim to provide investors with predictable and attractive target returns with minimal risk of income or capital loss.

He added: 'The team at ICG-Longbow has many years’ experience of investing in the UK commercial property debt market and we are excited at the opportunity to open up this expertise to a wider audience.’

leave a comment

Please sign in here or register here to comment. It is free to register and only takes a minute or two.

News sponsored by:

Sponsored Video: Bringing it all back home


As the UK coalition government strives to rebalance the national economy, so called 'reshoring' looks set to play an increasingly important role in economic recovery.

Today's top headlines

The Citywire guide to investment trusts

Investment trusts have proved to be a highly effective way to invest in the market. Citywire has interviewed the experts to find out more.

Investing for income in a changing environment


With talk on interest rates on the horizon, our latest roundtable debate covers income investing against a changing backdrop

More about this:

Archive

On the road

Click here to find out more from the Audience Development team.

Read more...

Arbuthnot to sell structured products business

by Dylan Lobo on Jul 22, 2014 at 08:05

Sorry, this link is not
quite ready yet