The new financier will focus on residential property, originating, underwriting and managing whole loans from £50m.
Funds will be available for constructing homes for sale, rental, retirement communities, co-living, student accommodation and other residential asset classes.
Its ambition is to provide up to £1bn of development financing a year.
Prècis Capital Partners has been founded by Randeesh Sandhu, Daljit Sandhu and Karen Dunstan.
“Increased volumes and more efficient delivery of private development financing are fundamental to bridging the gap between longstanding and fast-growing demand for housing in the UK, and the supply currently delivered by homebuilders,” said Randeesh Sandhu, co-founder and chief executive of the firm.
“We are extremely excited to be partnering with TowerBrook to meet this challenge and address the market need,” he added.
The team includes former Deutsche Bank private and commercial banking chief executive Frank Strauss, who joins as chairman. And Susan Geddes, former managing director of structured real estate finance at Santander UK Corporate Banking, joins as director and credit committee chair.
The new platform aims to develop green finance products alongside traditional development finance in line with TowerBrook’s commitments to responsible business practice.
“We aim to help the UK construction industry to transition towards net zero targets with sustainable build standards, new technology and modern methods of construction,” added Daljit Sandhu, co-founder and chief operating officer.
“While we won’t let up on speed, flexibility or certainty, we hope to pioneer new products and practices,” he added.
The Sandhus previously co-founded Urban Exposure which provided £2bn of development finance.