LendInvest, a UK-based online marketplace for mortgages, reported on Tuesday strong inflows to its flagship real estate debt fund during November. LendInvest reported that over the month, it secured £23 million of new investment for its Real Estate Opportunity Fund. This notably brought the fund’s AUM in excess of £250 million at the end of November 2019, up approximately 40% since the start of the year.
“The LendInvest Real Estate Opportunity Fund is domiciled in Luxembourg and has always attracted a global investor base since its inception in 2014. Today the fund’s investor base is made up of institutional investors and family offices across Europe, the Middle East, and Asia.”
LendInvest also noted that the Fund aims to deliver income-driven returns to investors with downside protection through its short-dated lending strategy. All loans held by the fund are secured by UK real estate. Speaking about the strong inflows, Rod Lockhart, Head of Capital Markets & Fund Management at LendInvest, stated:
“LendInvest continues to attract capital from all over the world on the strength of its platform and compelling investment proposition. Despite the distractions of Brexit and an unscheduled General Election, the conditions for direct lending’s growth in UK property are good. The appetite to invest in the UK real estate debt is strong and investors are making well-judged decisions about where to allocate capital.”
LendInvest then further explained that this news caps a record year of fundraising for LendInvest, which has included a £259 million RMBS securitization (83% AAA-rated), and two £200 million investments from National Australia Bank and HSBC. LendInvest added it has now raised almost £2 billion ($2.6 billion) from investors, confirming its position as one of the largest non-bank mortgage lenders in the country.
