In the UK, Palmer Capital has a FCA regulated investment management business with £835 million AUM (as at 30th June 2018), across c. 90 assets. The business has c.25 staff dedicated to the management of client capital, with c.50% of their activities in the value add/opportunistic space.
Palmer Capital launched its first fund in 2004, and since then has raised a further five funds focused on value add and opportunistic commercial property transactions in the UK. The funds invest where value can be added from the real estate expertise across the team. With access to some of the best regional operating partners within the group, the fund management team are able to access local knowledge and highly skilled resource.
This access has allowed the fund management business to grow through its focus on best in class asset management combined with institutional governance and strong financial analysis. The funds are typically closed ended vehicles designed for Pension Funds, Charities, and Family Offices. A feature is that typically the returns are made from property performance rather than the capital structure, as the funds benefit from relatively low gearing.
Whilst the strategies have evolved over the last decade, the focus has always been on adding value through change of use or active management to improve the quality and quantity of income.