Abu Dhabi’s sovereign wealth fund has elevated its dedication to a European actual property credit score technique, run by Cheyne Capital.
The Abu Dhabi Funding Authority (ADIA), which is estimated to have round $892bn (£699bn) in belongings beneath administration, has elevated its funding in Chayne’s capital options technique to £650m.
Cheyne Actual Property Credit score Holdings, which is now on its ninth classic, focuses on senior lending in European actual property, offering subordinated debt, hybrid credit score and industrial mortgage-backed securities.
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Current offers embody the structuring of a £780m mortgage to Quintain for the refinancing of Wembley Park in London, alongside JP Morgan. The fund has additionally offered a £318m mortgage to Riverstone, backed by Goldman Sachs; and lent €250m to Bain Capital and Borio Mangiarotti for a housing improvement in Milan.
In whole, the technique offered loans price greater than £5bn in 2022 and 2023.
“The capital options technique goals to assist the European actual property business transition away from more and more out of date belongings supported by low rates of interest and in the direction of productive, sustainable belongings for the long run. With an unlimited pipeline of future investments requiring funding, we look ahead to persevering with to handle this want as we open the technique as much as different buyers in 2024,” mentioned Ravi Stickney, managing companion and CIO of Cheyne Actual Property.
Mohamed Al Qubaisi, government director of the true property arm of ADIA, added: “The Capital Options technique goals to satisfy the growing demand for numerous types of actual property credit score by drawing on Cheyne’s experience within the European actual property lending market. We see this as a compelling funding proposition in a market that’s seeking to non-public credit score lenders for capital.”
Based mostly in London, Cheyne Capital has $11bn in belongings, half of which is in actual property.
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