Precis Capital secures £1bn investment for development loans

TowerBrook, the founding institutional shareholder of Precis Capital, will retain a significant shareholding in the business. 

Precis Capital will also rebrand as Precede Capital Partners. 

The lender launched in March 2021 with a view to finance residential developments in the UK. It aimed to provide up to £1bn in development finance each year and since coming to market, has originated and arranged loans totalling £1.5bn. 

The agreement with QuadReal will further enhance its lending capacity and Precede Capital aims to arrange a further £3bn in loans through capital structuring. 

Randeesh Sandhu, CEO and co-founder of Precede Capital, said the lender was delighted to partner with QuadReal as it readied for the next stage of its evolution. 

He added: “Our specialist team has built a reputation for successfully structuring large and complex financial solutions, and this partnership with a leading global institution is a strong endorsement of our track record. We look forward to working closely with QuadReal as we continue to back sponsors and developers delivering best-in-class living assets.” 

Jay Kwan, managing director, head of Europe for QuadReal, who has joined the Precede Capital Board said: “The living sector is one of the key pillars within our global areas of conviction. Partnering with the deep bench of seasoned professionals at Precede Capital in this area, at this time, is a natural extension of both investment priorities and advancing our real estate credit business to the UK from within North America.

“Working closely with the TowerBrook team and its best-in-class fiduciaries only enhances what this group of professionals can offer and achieve.”  

Joseph Knoll, managing director at TowerBrook, added: “Since its launch, Precede Capital has established itself as a significant provider of development lending in the UK. The new partnership with QuadReal and its extensive experience as a real estate manager and credit provider will accelerate that journey. We are excited about partnering with QuadReal and the new growth opportunities it will open for the Precede platform.”