A newly established REIT – Special Opportunities REIT – has kicked off a roadshow ahead of an anticipated £500m IPO.
As first reported by React News, the company will be led by former LXi REIT chief executive Simon Lee, with a number of former LXi personnel making up the senior management team – including Freddie Brooks and John White.
Deutsche Numis has been appointed to market the business. A prospectus could be published by late May, with trading commencing as early at 11 June.
The company will focus on acquiring properties from distressed sellers – mainly open-ended property funds, taking advantage of dislocation in the real estate capital markets.
It will target individual asset lot sizes of £3m-£50m with EPC ratings of B or better and aim to provide a 12-15% IRR.
A £275m portfolio is thought to have been lined up, made up of assets in the student, data centre, industrial, budget hotel and retail park sectors.
A board has been lined up, with Harry Hyman, the founder and chairman of Primary Healthcare Properties, as chairman of the company, and Jamie Hopkins, the former chief executive of Workspace, as senior independent director.
Jo Bond, co-founder of Lothbury Investment Management, and Dana Ward, former head of financial services tax at Grant Thornton, are also lined up as non-executive directors.