Europa Capital is an established pan-European real estate equity and debt fund manager that has focused solely on investment across European real estate markets. As a result, we offer a deep understanding of real estate fundamentals and market cycles, and are truly pan-European in approach, capabilities and experience.
We maintain strong proprietary deal flow through our regionally focused real estate investment teams and our long established network of local partners, providing a local presence across a range of European markets. Europa Capital employs dedicated real estate professionals, with expertise in active asset management, refurbishment, change of use and development, to deliver investment performance through astute risk-based acquisition and active asset management strategies.
The Europa Capital team benefits from a 22-year track record of investing in European real estate on behalf of institutional investors from around the world. We have successfully sponsored and managed nine commingled real estate funds since 1995. We have acquired more than €10.4bn of real estate in more than 124 investments across 19 countries.
As a member of a leading real estate investment and management group, headed by Mitsubishi Estate Co., Ltd, with Group AUM of $26bn, we benefit from a strong balance sheet and a global approach to institutional real estate fund management.
Investment principles & strategy
For our growth strategies, Europa Capital analyses cyclical opportunities for value enhancement and structural changes to individual markets and real estate sectors. Europa Capital appraises asset-specific opportunities to enhance the building fabric, optimise income profile and attain sustainability credentials. We will seek to create a diversified portfolio of investments to generate capital growth through refurbishment, repositioning and, to a lesser extent, development opportunities across Europe (the EU, Norway and Switzerland) with a focus on the liquid markets of the UK, Germany and France.
Europa Capital’s investment approach is to identify opportunities at an asset level that, through active management, change of use or refurbishment, can be brought to the core institutional market for disposal. In particular Europa Capital focuses upon assets:
- in sub-sectors that have become intrinsically undervalued;
- which have potential for repositioning or change to higher value uses;
- where capital-neglect or mismanagement is identified as the root cause of asset deterioration;
- that offer potential for value creation through refurbishment;
- which are in locations or situations where there are actual or potential barriers to entry;
- which can be sourced off-market and/or at a discount to replacement cost or vacant possession values;
- where value can be realised through corporate restructuring;
- with multiple exit strategies, including to institutional investors; and
- sourced through failed sales processes.
For our income strategies, Europa Capital identifies opportunities which can deliver a high and sustainable income return and stable capital values. The key to delivering sustainable income returns to our investors is understanding what the local occupiers want from their buildings and delivering that on a consistent basis. Therefore, we focus on properties with a strong letting record or that can be repositioned to meet local occupier demand by specialist, active asset management.
Europa Capital Debt Investment structures and provides loans to the UK’s commercial property sector. Our sole focus is on the UK market which ensures that we have a deep local market knowledge, intimate understanding of the key UK real estate sub-markets and a local operating presence.
Europa Capital Debt Investment backs experienced sponsors investing in assets with strong property fundamentals and asset management opportunities. We aim to achieve this through the execution of astute lending strategies and backing sound management and investment principles:
- Our focus is on the analysis of the real estate fundamentals, with the financial structure tailored to suit the business plan rather than the reverse.
- We work with sponsors who have a good track record in active asset management.
- We focus on sustainable cashflows, liquidity of the underlying investment and transactions that have value creation opportunities.
Strategic corporate development
Europa Capital seeks to be a best-in-class real estate fund manager and will continue to focus on realising superior risk adjusted returns through investment in European property markets, adding value to real estate through active asset management, strategic change of use or development in property assets across Europe. Europa Capital will continue to co-invest alongside investors in future funds and products, and to look for ways to deliver innovative investment solutions to help our clients meet their investment objectives.
This information is provided for use by qualified institutional investors and their advisers only. Further information is available upon request. Europa Capital LLP is authorised and regulated by the Financial Conduct Authority.
News from Europa Capital (Real Estate)
Europa Capital and Ediston Real Estate have sold their Pinesgate office investment, comprising two office buildings in Bath to Watkin Jones & Son.
Europa Capital and Keystone Investment Management sell third PRS building in Copenhagen to Heimstaden
Europa Capital and Keystone have completed on the corporate sale of a block comprising 105 newly built private rented sector homes in the Copenhagen suburb of Valby to Heimstaden.
Europa Capital and Addington Capital acquire office building for conversion to Private Residential Block in Hounslow, London
Europa Capital and Addington Capital have completed the acquisition of One Lampton Road in Hounslow from clients of LaSalle Investment Management for over £20 million.
Europa Capital has secured institutional equity commitments of €716 million for its fifth flagship pan-European value-add fund and associated co-investment vehicles, significantly exceeding its prior value-add fundraise.
Europa Capital was a net seller of investments from its value add funds in 2017 as it completed another year of transactions in excess of €1.0 billion. In a year of high activity, Europa Capital continues to experience strong investor interest in stabilised, income producing assets.
News from IPE Real Estate
Invesco Real Estate acquires asset for German institution
Building at 55 Bishopsgate now owned by Swiss investors and unnamed partner
Boston hotel bought by German fund manager in sale-and-leaseback deal
Investment manager buys asset for grundbesitz europa fund
Eight freehold properties bought in joint venture with specialist Algonquin
White Papers / Research from Europa Capital (Real Estate)
With the debate around where we are in the cycle intensifying, Nic Fox, Head of Middle Europe at Europa Capital, talks about the current dynamics of the European market, what we can expect going forward and how Europa is placed to deal with these challenges.
Analysis from IPE Real Estate
Investors are moving up the risk curve to take on more value-added exposure. But some argue that this is mitigating risk instead. Maha Khan Phillips reports
Investors are regaining confidence in the Spanish capital which is one of the few European markets where prime office rents are rising, finds Russell Handy
Pension plans in the US began to move back into European strategies in 2013. Rachel Fixsen investigates the source of the transatlantic pull
What does opportunistic investing mean in Europe today? Lynn Strongin Dodds explores some of the strategies being employed.
Blowout, collapse, rubble, ashes, consolidation, takeover – these are words we have heard a lot in the last few years as the -industry downturn has claimed victim after victim, manager after manager, leaving many investors high and dry. But here’s a deal with a difference – one where all parties appear to win. Noel Manns talks to Martin Hurst about Europa Capital’s success, its new strategic investor and what this means for the fund manager and its investors