Delancey launches new real estate lending strategy

UK property and investment manager Delancey has rolled out a new real estate credit strategy. 

Adnan Ozair and Martin Kom

AlbionArc Capital will offer short-to-medium-term loans of £10 mln (€11.7 mln) or more, with terms of 12 to 36 months, for transitional and bridge financing, including development projects.
The strategy is designed to be a long-term, scalable platform, focusing on high-quality sponsors and liquid assets across various sectors. 
AlbionArc Capital is well-capitalised and benefits from an already identified pipeline of opportunities, with potential loans being considered across the open-market-sale, office, and senior living sectors.
The new strategy follows Delancey’s successful DCIF 1 fund and last year’s lending partnership with Cynergy Bank
Adnan Ozair, managing director - Fund Strategies at Delancey, said: “Our new UK real estate credit strategy, backed by sophisticated investors with extensive experience in, and continuing appetite for, the UK market, is designed as an attractive option for borrowers seeking transitional or bridge financing. AlbionArc Capital will offer flexible, interest-only debt that allows clients to move quickly on acquisitions, refinancing, or transitional business plans.”
Martin Kom, head of Credit Investment at Delancey, added: “Regulatory restraints are encouraging traditional banks to move risk off their balance sheet, creating an opening for specialist alternative lenders like Delancey to provide shorter duration products to investors in the UK real estate market. While the nature of AlbionArc Capital's loans will be shorter-term, we will be focused on building long-term relationships with quality developers and investors with whom we want to do repeat business.”