Investment Date
Q1 2013
Exit Date
Q2 2015
(Fully Realised)
Asset type
Mixed commercial
Revcap strategy
Distressed purchase /
Portfolio build up
Revcap Fund
KHCP II / SHCP III
Investment Type
JV Equity /
Platform Investment
Background and Opportunity
- Carisbrooke’s management had a short window to acquire an overleveraged loan secured on Carisbrooke’s property portfolio for over £70m from its distressed lender
- A 26 property portfolio was predominantly made up of industrial and office assets acquired at an initial yield of 12%+
- Revcap was able to bring together all the capital required to purchase the loan without the need to obtain third party debt
Transaction Progress
- 4 further assets were added to the portfolio after the purchase of the loan position
- After some asset management initiatives, most of assets were sold in a portfolio sale to an institutional investor in 2014
- Several assets were also sold individually
Current Status
- Transaction fully exited generating an IRR of 35%+ and a substantial promote paid to management
- Members of the management team have created Castlebrooke Investments as a successor business to focus on UK urban regeneration
- Revcap owns a minority stake in Castlebrooke Investments
