A London property fund is raising a £300 million war chest from overseas investors as the influx of foreign cash into the capital shows no sign of abating.
The West End of London Property Unit Trust — a Schroders-managed fund advised by Quintain’s Grafton Advisors — has appointed CBRE Capital Advisers to raise the funds, the bulk of which are likely to come from Asian investors looking to tap into a booming London property market.
The cash would give the trust the ammunition to expand its £1.2 billion portfolio of 11 properties as it moves outside its traditional West End market.
It made its first such deal recently, spending £49.7 million on offices at Regents Wharf, King’s Cross.
The push comes amid a frenzy of overseas activity on the London property scene.
New Scotland Yard fell into the hands of an Abu Dhabi buyer this week for £370 million — £120 million above the asking price.
The biggest deal in the market now is the Old War Office in Whitehall, being sold by agents GVA and expected to fetch at least £350 million.
Some of the world’s richest people including India’s Hinduja family and Asia’s richest man — Hutchison Whampoa magnate Li Ka-shing — are said to be in the running for the historic building, which could be turned into luxury flats.
