LONDON, 6 April 2016 – Palmer Capital Development Fund III (“PCDF III”), a CBRE Global Investment Partners’ (GIP) programmatic venture, has acquired the Aurora site at Finzels Reach and will fund the office development.
PCDF III, which is managed by Palmer Capital and funded by clients of GIP, was launched in mid-2014 and has grown to over £200m of assets. Cubex Land is the development manager of Aurora.
The 0.4 acre site occupies a gateway position within Finzels Reach, a major mixed-use regeneration scheme in Bristol city centre. The site has planning consent for a 95,530 sqft net internal area Grade A office development over ground and six upper floors. Construction has commenced and the target date for completion is October 2017. The end value of the project is forecast to be in excess of £40m.
Alex Bignell, Head of UK at CBRE GIP says: “We are delighted that our clients are able to participate in the exciting Aurora development. We are confident in the fundamentals of the Bristol office market.”
Chris Button, Director at Palmer Capital commented: “Bristol has a shortage of Grade A office space which has already resulted in rental growth. Aurora will be the first new development to be completed and will deliver the very best office space Bristol has to offer in a vibrant, mixed-used location.”
Gavin Bridge, Director, Cubex Land commented: “I’m delighted to enter into this development partnership and proud to be delivering Bristol’s first BREEAM Outstanding office building.”
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About CBRE Global Investment Partners
CBRE Global Investment Partners is a division of CBRE Global Investors that delivers investment solutions customised for clients’ individual objectives by constructing portfolios using private funds, secondaries, co-investments and joint ventures, partnering with leading operators and fund managers for each strategy. Investments cover the risk spectrum from core to enhanced, can be global or regional in nature, and use a variety of investment vehicles based on clients’ preferences. GIP has $13.6 billion in assets under management* as of December 31, 2015. CBRE Global Investment Partners’ AUM includes investments in programs managed by the direct side of CBRE Global Investors. CBRE Global Investment Partners Limited is authorised and regulated in the United Kingdom by the Financial Conduct Authority (FCA).
About CBRE Global Investors
CBRE Global Investors is a global real estate investment management firm with $89.0 billion in assets under management* as of December 31, 2015. The firm sponsors investment programs across the risk/return spectrum for investors worldwide.
CBRE Global Investors is an independently operated affiliate of CBRE Group, Inc. (NYSE:CBG). It harnesses the research, investment sourcing and other resources of the world’s premier, full-service commercial real estate services and investment company for the benefit of its investors. CBRE Group, Inc. has more than 70,000 employees in more than 400 offices (excluding affiliates) worldwide. For more information about CBRE Global Investors, please visit www.cbreglobalinvestors.com.
*Assets under management (AUM) refers to the fair market value of real estate-related assets with respect to which CBRE Global Investors provides, on a global basis, oversight, investment management services and other advice, and which generally consist of investments in real estate; equity in funds and joint ventures; securities portfolios; operating companies and real estate-related loans. This AUM is intended principally to reflect the extent of CBRE Global Investors’ presence in the global real estate market, and its calculation of AUM may differ from the calculations of other asset managers.
About Palmer Capital
Palmer Capital is a private equity real estate investment management company. Founded in 1992 the company is privately owned and operates in eight countries (Europe and Hong Kong). It directly manages around £600m of discretionary and advisory client owned assets under management (65% UK, 35% Continental Europe), and the UK asset management companies it backs manage another £400m of property (by current value) for third parties. The Asset Management Platform has investments in seven asset and development operating companies across the UK, 33.3% owned by Palmer Capital
In the United Kingdom it has two distinct divisions – minority share holdings in property asset and development management companies (Asset Management Platform) and the fund management of pooled or segregated property vehicles (Funds Management Platform). These complimentary activities provide Palmer Capital with the advantage of being able to source and execute property transactions from the Asset Management Platform and to fund and structure these with the investors whose capital it manages in its Fund Management Platform, or utilising equity from its own balance sheet
The Asset Management Platform has investments in nine asset and development operating companies across the UK, 33.3% owned by Palmer Capital and 66.7% owned by the management team. They each have a geographic focus and predominately undertake commercial property projects, although the residential element has increased to c.25% of activity. About 50% of the property transactions they undertake are funded through the in-house Funds Management Platform, and the remainder through other third party or internal/balance sheet equity. Palmer Capital also undertakes principal investment, acquiring and owning assets on its own balance sheet.
About Cubex Land
Cubex is a dynamic commercial property development and investment company operating from Bristol and London. Launched in 2004, they have acquired, developed and completed a wide range of commercial and residential projects across the South West of England and South Wales with a value in excess of £200m.
Cubex have completed and have ongoing projects spanning across a wide range of property sectors including offices, retail, industrial, distribution, hotels, leisure, motor trade and healthcare. The portfolio is diverse not only in terms of market sector but also by geography, size, value and complexity.