ADIA commits $400m to Arrow for European lending strategy

Arrow Global Group Capital Management has secured a $400m (£310m) commitment from a wholly-owned subsidiary of the Abu Dhabi Investment Authority for its European real estate lending strategy. The deal expands the relationship between Arrow Global and ADIA, with an ADIA subsidiary also an existing investor in Arrow Global’s opportunistic credit strategy. “This agreement with ADIA to commit to our flagship European real estate lending strategy comes at an ideal moment for living sector assets,” said Zachary Lewy, founder, chief executive and chief investment officer at Arrow Global. “In a market that is looking to private credit lenders for capital, this is a prime opportunity to provide senior secured capital to borrowers delivering high-quality, liquid assets that are in short supply and high demand.” Arrow owns 22 platforms across Europe, including Maslow Capital, and has €95bn (£80bn) in servicing assets under management. Recent deals include the structuring of a £29m bridge loan to refinance a recently completed 35-flat development in London, a £13m redevelopment package for the conversion of a former police station in London into a 29-flat development, and a £129m loan for the development 477-flat complex in Manchester. Mohamed Al Qubaisi, executive director of the real estate department at ADIA, said: “Arrow Global’s European real estate lending strategy is well-aligned with the market’s shift toward more flexible and reliable real estate financing solutions, and Arrow’s strong track record makes it an attractive investment opportunity.”