Scarborough Group, the Leeds-based real estate firm, has created an investment fund aiming to raise $150m from Chinese investors keen for exposure to investments in the UK.
The firm, which already has a presence in the Asia Pacific region, has joined forces with Hong Kong-based Wyndham Advisors, a corporate finance and investment advisory firm that services private and medium-sized companies and investors, to form the management platform of the fund called ScarWyn Capital.
The platform will be 50:50 jointly owned between Scarborough and Wyndham .
Its first responsibility will be the launch and management of the Steeland Property Opportunity Fund, a closed-ended fund of seven years which is expected to return 15 percent to its investors. The fund is expected to attract $150 million in capital commitments, with a minimum investment of $5 million.
ScarWyn is to be co-chaired by Scarborough’s chairman, UK real estate entrepreneur Kevin McCabe, and Wyndham founder Water Cheung, a former senior executive with the Royal Bank of Scotland. They will be supported by staff including Susan Tham, who previously worked for Scarborough’s business in China, alongside Alex Yeung, previously at Hong Kong brokerage DBS Vickers and Simon McCabe, Kevin’s son and a current Scarborough executive in charge of the firm’s UK development activities.