Family office-owned real estate lender Mera Investment Management is planning to deploy £150m of private capital to fund or invest in £250m of prime UK real estate over the next 18 months.
Mera, founded by Jan Fletcher and Edward Matthews, said it would take advantage of a lack of funding availability from institutional lenders and capitalise on the wealth of new credit investment opportunities – from super prime residential properties in prime central London to offices in regional cities including Bristol and Glasgow – following the exodus of high-net worth investors from the UK.
Chair Fletcher said: “Now is the time to double down on prime UK real estate. On a macro level we’re already seeing opportunities from an exodus of high-net-worth-individuals, who are leaving the UK in favour of more attractive tax regimes. As a result, a number of high value single assets, portfolios and development opportunities are coming on to the market and the team has never been busier.
“I have always loved real estate as an asset class and due to the market cycle and lack of institutional appetite, there has never been a better time to invest in bricks and mortar.”
Matthews, chief executive of Mera Investment Management, added: “Private credit is where the investment sector is going. It is a $1.7tn industry and marries perfectly with real estate, which provides greater stability in returns than other investments.
“As we reach the turning point within prime UK real estate pricing and supply, now is the time for growth and investment. With our new substantial funding lines Mera Investment Management is poised to take full advantage of these new opportunities and, crucially, to move at speed. We are anticipating loans sizes of between £10-£30m and with the current significant pipeline of potential deals, we expect to deploy £150m within the next 18 months.”
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