Madison International Realty to spend £1 billion in London
As investors hurriedly abandon the UK property market thanks to the immediate negative impact of Brexit, New York-based property fund Madison International Realty is set to spend up to £1 billion buying cheap London buildings.
The company already owns a stake in the illustrious Lloyd's of London building, and plans to take advantage of the UK's uncertain status by funnelling funds into its capital city.
Once it has invested in the buildings, Madison plans to offer the quick sale of partial stakes.
Thanks to the current weakness of the British pound, Madison’s money will go further than expected. UK currency has fallen approximately 10 percent against the dollar, which is at a 31-year low.
According to the Financial Times, Founder Ronald Dickerman said of the decision: “We think the timing is perfect and we are looking to deploy a disproportionate amount of this fund into London.
“We can be a liquidity provider to open-ended funds with queues for the exit.”
Read the July issue of Business Review USA & Canada here
- Tech boss who sacked 900 staff on Zoom call back at helmLeadership & Strategy
- BHP look to renewable energy to power Chilean minesLeadership & Strategy
- Zillow partners with Century 21 on Canadian real estate listingsDigital Strategy
- Brookfield makes $14.8bn bid for remaining stake in GGPCorporate Finance