Wainbridge and Morgan Stanley Alternative Investment Partners form Partnership (UK)

Wainbridge Capital Limited, a Jersey-based property investment manager, announces that it has agreed to terms with a real estate fund of funds managed by Morgan Stanley Alternative Investment Partners ('AIP') to form a partnership to co-invest in value-added offices in London.

The first project in the partnership will be the completion of FC200, the 164,000 ft² (approx. 15,200 m²) West London office development acquired by Wainbridge's real estate fund, Wainbridge Global Opportunities London Limited in September 2011. Under the terms of the agreement, AIP will acquire a 49% stake in the project and together the parties will fund the capital expenditure necessary to complete the development.

When completed, the building will offer high quality grade-A space at competitive rents. The floor plates range from 21,000 to 25,000 ft² and there are 174 car parking spaces which reflects an attractive parking ratio of 1 space to 942 ft². Bowmer & Kirkland has been appointed to lead the final phase of construction, which is scheduled to commence in mid-March. Andrews Denford & Boyd, CBRE and Savills have been appointed as leasing agents.

The parties intend to jointly partner in other projects in London where they believe there is an opportunity to unlock significant value through redevelopment, refurbishment, repositioning and other asset management initiatives. Wainbridge Limited, the UK-based property investment advisory firm and asset manager, will be responsible for deal sourcing and for executing the various asset management initiatives on behalf of the partnership.

Rob Rackind, Principal and co-founder, Wainbridge Limited, commented: "Located in a strategic position, within easy reach of central London, FC200 will provide a first class business environment and is set to benefit from increase in demand for office space in the Western Corridor sub-market of London where there is currently a limited supply of new Grade A office space.

"With discussions already underway with potential tenants and with works now on site to deliver the high quality final phase of fit-out and construction, we believe AIP's investment is a further boost to the prestige of the project and we now look forward to bringing the refurbishment to a conclusion with their support."

Edouard Fernandez, Principal and co-founder, Wainbridge Limited, added: "We are continually looking for ways to grow our business and we are therefore very excited to be entering into this new partnership with AIP, one of the world's leading real estate fund of funds investors. Their involvement in this project adds to our excitement over the potential for FC200 specifically, but also for future opportunities to acquire well located assets with income risk where we feel well placed to use our expertise and unique skills base with the objective of unlocking significant value through asset management initiatives."

David Boyle, Executive Director and Portfolio Manager of Morgan Stanley AIP Real Estate, said: "Our strategy is to align with and co-invest alongside what we believe to be best-in-class small- to mid-size fund managers around the world which have specialist expertise in their local markets. So we're very pleased to be partnering with Wainbridge. We think there are still significant investment opportunities in the London office market, and the relationship can enable our investors to benefit from Wainbridge's expertise in this market segment.

Source: FTI Consulting

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