Sustainability-focused developer EDGE plans to ramp up its buying and target complex retrofit projects across the UK and Europe after Australian bank Macquarie took a significant minority stake in the firm.
Macquarie’s asset management arm has formed a strategic partnership with the 25-year-old Dutch company, which has about €5bn (£4.2bn) of assets in development, giving it access to a new well of financial firepower.
The firm, which has built a reputation as a market leader in tech-driven sustainable schemes, had previously been limited to “a handful of redevelopments every year”, according to founder and CEO Coen van Oostrom.
“There is so much more that is possible at the moment,” he told EG. Part of that will include using the new resources to invest in retrofit projects, which are considered more sustainable than new-builds because they typically involve less embodied carbon in the construction phase.
“We are uniquely positioned with our knowledge of sustainability and now our improved capabilities on the equity side to step into that part of the market,” he said.
Among EDGE’s projects is a 27-storey office tower next to London Bridge, which is set to be the most sustainable of its kind in the capital. It is also developing buildings in Berlin and Amsterdam.
Macquarie did not reveal the size of its stake in the developer, but EG understands the deal will involve placing two of the asset manager’s executives on EDGE’s five-person board.
Dana Gibson, co-head of real estate in Europe, said Macquarie would “provide equity to scale the business and investment management expertise”.
“With our support, EDGE will continue to expand further in London, where a new office has been established and an exciting pipeline has been secured,” he added.
“EDGE will continue to focus on its core markets of the Netherlands, Germany, and the UK initially, with the potential to expand into new markets in the future.”
When asked what his favourite scheme by the developer was, he said: “As a real estate professional, it is difficult to pick a favourite. But the EDGE Suedkreuz Berlin, with its timber structure and glass atrium, is absolutely stunning.”
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