The German property market has looked increasingly attractive in 2006, as investors focus on signs of German economic improvement and seek to exploit both attractive investment yields and low borrowing rates. Against the backdrop of this favourable climate, fast-growing boutique investment manager London & Capital launched its German Real Estate Fund. The first investment was in early August; a prime retail park in Nordhausen for 28,274 million, representing a net initial yield of 7%.
New hire
London & Capital is keen to lay solid foundations at this early stage and to invest in strong leadership and in-depth industry knowledge. The Company is therefore pleased to announce that Ralph Weichelt has signed up as Country Fund Manager, Germany. Weichelt will assume the role of Lead Manager on the German Real Estate Fund and brings a wealth of property experience to the table, having previously headed up the German Capital Markets desk as Associate Director at Jones Lang LaSalle. Over the years he has acquired considerable knowledge of the legal processes involved in dealing with the German and British property markets.
Weichelt will report to London & Capital's Director of Real Estate, Iain Keys, and will be responsible for identifying Real Estate investment opportunities in Germany. He will oversee the evaluation of prospective purchases, ensure the pipeline is diversified to suit the investor palate and seek to generate stable net returns in line with the target of 15% per annum. With a number of deals close to completion, the outlook for the Fund is highly promising.
Iain Keys said: "We see Real Estate as a key portfolio diversifier for our clients. Within the asset class we are aiming to provide opportunities in various regions, on a global basis. We have started in Germany, which is a focal market for us, and bringing Ralph on board will give London & Capital a timely edge. He understands the differences and nuances of both the German and British property markets. We look forward to working with him."
Source: Phoenix Financial PR Ltd
