Two years after the collapsed sale of BTR platform Fizzy Living, investors are circling in a revived process.
Housing association Metropolitan Thames Valley has appointed Savills to advise on a potential sale of the business, including its 16% stake in Fizzy’s portfolio. The appointment was first reported by Bloomberg.
Fizzy has a near 1,000-flat portfolio across eight sites in London. It was set up with seed capital of £30m from TVH and £40m of debt from Macquarie Capital, before the Abu Dhabi Investment Authority committed £400m during 2014 and 2015.
In 2018, the company entered into talks over a sale to British Land, with the potential for the REIT to up its interest to include a share of ADIA’s majority stake.
However, an elongated and complex negotiation saw the deal collapse in early 2019.
In the wake of the pandemic, BTR has gained favour as a resilient asset class for investors. Over the past year some £4.7bn was committed to the sector. A recent survey of investors found 85% intend to invest in the asset class over the next decade, compared to 58% in offices and 47% in retail.
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