Grosvenor and Generali launch £100m resi co-investment strategy

Grosvenor and Generali Real Estate have formed a £100m partnership to support residential developers with debt financing. The partnership has been seeded with an initial £50m from each organisation and will be characterised by a pari passu co-investment strategy. Generali Real Estate and Grosvenor will provide loans of up to £60m for residential projects of all types and tenures, with a focus on schemes with strong environmental credentials in London and the UK’s regional cities. The partnership is an extension of Grosvenor’s and Generali Real Estate’s strategies on real estate debt. The joint venture has provided funding to Aitch Group to deliver 65 homes, comprising 49 for market sale and 16 affordable, near Canary Wharf in London. Rachel Dickie, executive director of investment at Grosvenor Property UK, said: “This new partnership enables us to ramp up our lending activity, combining our capital and knowledge of the UK housing market to back the delivery of new homes – be that for sale, for rent, later living or student accommodation.” Stefano Lombardo, head of CRE debt portfolio construction at Generali Real Estate, added: “The partnership is key for us to further enlarge our debt investment strategy in the UK, which we consider one of our focus countries.” Grosvenor and Generali are advised by the CBRE investment advisory lending team. To send feedback, e-mail akanksha.soni@eg.co.uk or tweet @AkankshaEG Photo by Jon Santa Cruz/Shutterstock (12696935d)