Cordea Savills has raised £25m from a global private bank in the first closing for its Prime London Residential Development Fund.
The sum is far less than the £250m target the fund initially announced last October. However, the company said it was planning another closing in August with an Asian private bank.
The fund intends to provide equity and mezzanine finance for developers of prime London residential schemes and targets a return of 18-20%.
Patrick Carr, director of investment at Cordea Savills, will manage the fund in collaboration with Savills’ Brian D’Arcy Clark and Cordea’s new debt team of Keith Davison and James Tarry.