Avignon Capital, the London-based European property investment and asset management business, has formed a strategic partnership with CLSA, Asia’s leading capital markets and investment group and the international platform of China’s largest investment bank CITIC Securities.
The partnership will create an expanded European real estate investment management platform with Avignon Capital acting as CLSA’s partner for European commercial real estate investment.
This marks the initial expansion into Europe for CLSA’s successful Asia-based real estate investment business. To facilitate CLSA’s move into Europe, as well as investment flows of Asian capital seeking European real estate opportunities, CLSA has chosen to partner with Avignon Capital for their innovative approach and proven track record in European property investment.
The partnership leverages Avignon Capital’s investment management experience and knowledge of European real estate markets with CLSA’s market-leading position in Asia, established relationships with global institutional investors and strong ties to China. The combination of the two institutions provides an effective platform for future institutional investment products.
Avignon Capital has a proven track record of identifying and investing in leading European cities such as Berlin, Copenhagen and Amsterdam. In 2017, the firm completed several high-profile transactions, including acquisitions in The Netherlands and Germany, and disposals of its portfolios in Copenhagen and Barcelona, which achieved record returns to investors.
Avignon's Copenhagen Portfolio achieved an 154% ROE
With significant capital inflows into Europe over the past two years, and an optimistic forecast for strong economic growth, the outlook for the European real estate investment market is positive.
Avignon Capital’s partnership with CLSA marks the latest in a series of ambitious new undertakings for the company. Avignon Capital has grown its assets under management to record levels over the twelve months, expanded into The Netherlands, entered the European hotel market and launched Platinum Property Management, a property management service founded in partnership with McCafferty Asset Management.
Avignon Capital Managing Partner Patrick Flaton said: “This is an exciting partnership with an established and respected global financial company. Avignon Capital will benefit from a combined 50 years of experience that CLSA and CITIC Securities bring, along with their access to institutional investors from Asia and the US. The partnership will enable further growth and open new markets for Avignon Capital.”
Flaton commented further: “We enjoyed a momentous 2017 and this is the next important milestone for Avignon Capital, positioning us for longer-term growth and expansion. We are proud of our track record and delighted that CLSA decided to partner with us. They are an ideal strategic partner and we look forward to building a strong, long-term relationship with them.”
CLSA CEO Jonathan Slone said: “In Avignon Capital, we have found a dynamic partner with an excellent track record and deep knowledge in the underlining fundamentals of property investment in Europe. Building on our existing CLSA real estate platform, including the successful Fudo Capital series of pan-Asia real estate funds, we look forward to partnering with Avignon Capital to provide our institutional clients greater access to high quality, unique European real estate investment opportunities.”
About Avignon Capital
Avignon Capital is a European Property Investment and Asset Management business based in London. Avignon Capital’s core markets are the UK, Germany, the Netherlands and Spain, and its clients include private investors, family offices and institutional funds.
Avignon Capital invests in prime commercial real estate and has a strong track record of delivering growth through innovative asset management. It has a diverse portfolio, which includes prime retail real estate, offices, hotels and mixed-use, multi-let campuses. Avignon Capital’s Umspannwerk Kreuzberg property in Berlin has attracted technology giant Google, where it established their first campus in Germany.
As of 31 December 2017, Avignon Capital’s AUM is €700m, with 104 properties across five countries in its portfolio.
About CLSA Limited
CLSA is Asia’s leading capital markets and investment group, providing global investors with insights, liquidity and capital to drive their investment strategies.
Award-winning research, an extensive Asia footprint, direct links to China and highly experienced finance professionals differentiate our innovative products and services in alternative investment, asset management, corporate finance, capital and debt markets, securities and wealth management.
As the international platform of CITIC Securities (SSE: 600030, SEHK: 6030), China’s largest investment bank, CLSA is uniquely positioned to facilitate cross-border capital flows and connect China with the world and the world to China. Founded in 1986 and headquartered in Hong Kong, CLSA operates from 20 cities across Asia, Australia, Europe and the United States. For further information, please visit www.clsa.com.