M7 Capital has provided, on behalf of its UK debt fund TREC II, a €8m (£7m) loan to Linden Hill Capital to support the acquisition of a prime Birmingham office asset, Maple House. TREC II has now deployed more than €271.4m (£237m) across 25 different loans in line with its strategy of providing loans of up to 70% LTV and from around €5.7m (£5m) and €28.6m (£25m) across the office, retail warehouse, industrial and leisure sectors.
The loan is secured against Maple House, a multi-let office and retail asset located in a prominent position just behind Colmore Row which forms part of the central business district in Birmingham city centre. Totalling circa 60,000ft², the property is 100% let to a mixture of multinational brands such as Siemens, Tesco, and local businesses. The investment presents LHC with the opportunity to actively manage the site’s longevity and current lease structures.
Linden Hill Capital is an innovative investment & asset manager with an established track record focused on direct and indirect real estate in the UK. LHC was founded and is managed by an investment banking & trading veteran with 16 years’ experience including just under 10 years with Goldman Sachs International in London. The wider team also has significant experience in contract structuring, project management, origination, procurement and the UK planning system.
Hugh Fraser, Chief Executive Officer of M7C, said: “Maple House is a high quality asset with a strong occupier mix situated in a desirable location for businesses in Birmingham, the UK’s second largest city region. This is the third loan we have completed since the start of year, demonstrating the momentum we are seeing in the market for smaller ticket, regional loans, which are underserved by traditional lenders.”
Haroun Soud Al-Mishwit, Founder & Managing Partner, said: “Linden Hill and its equity partners are proud to have closed the Maple House transaction despite recent market volatility. The acquisition is testament to confidence that the LHC & M7 teams have in the asset management strategy and to the ongoing collaboration between our firms. The LHC team looks forward to leveraging the initiative to create more sustainability and growth within this key enclave of Birmingham’s fast-growing economic & social ecosystem; the city is a prime candidate for UK Levelling-Up and inward investment.”
