A new Bulgarian residential property fund is seeking to raise £50m by floating on AIM.
The Lewis Charles Sofia Property Fund is offering an opportunity to invest in the Bulgarian residential property market, especially in flats and villas to be built in and around Sofia.
However, it has the flexibility to invest in residential property elsewhere in Bulgaria if suitable opportunities arise.
The fund will also have the ability to invest in land, and in property-backed and joint venture projects (which could include ski resort and golf course projects) with local and other partners (including banks).
Its preferred method of investment will be through partnerships with developers.
Up to £50m is being raised by the fund for investment in the property portfolio. The placing price is 80p per share.
Prior to the launch the fund will secure purchase options over 954 properties (out of which 63 represent luxury villas, and 891 represent luxury apartments) to be built over 12 separate sites in central Sofia and its southern suburbs.
Stavros Loizou, managing director of Lewis Charles, said: “With Bulgaria’s entrance to the EU confirmed for 2007 and large scale investment taking place in Sofia, we believe it is an ideal time to be launching the fund.”
It will be run by Loraine Pinel and Mark Anderson who have an extensive knowledge of the Bulgarian property market.
Stavros Loizou and Andy Charalambous, co-founders of Lewis Charles Securities, have over 34 years experience between them managing, trading and selling fixed income, equities and derivatives.
Panmure Gordon is acting as nominated adviser, financial adviser and broker to the fund.
References: EGi News 18/07/05
