CREATING FUTURE CORE:
SPECIALIST LENDING

Yoo Capital Management combines in-house capital markets and structuring capability with large-scale development and asset management capability to manage complex debt situations. The firm creates unique solutions collaboratively with borrowers to add further value. With traditional retail lenders restricted by tightened regulatory liquidity and risk- weighted capital requirements, high yield lending provides attractive risk-reward returns.

HOOLA TOWERS,
LONDON

£160M

of development financing to a well respected residential mixed-use developer backed by the founders of a major publicly listed commodities company

52

stories across two adjacent towers providing world-class residential spaces and retail units with views across Silver Quays and Canary Wharf

4W

four weeks from first call to in principal commitments to fund, three months to close, two transactions in one generated a stable capital structure while enhancing returns

In 2014, Yoo Capital Management partnered with Venn Capital to provide £160M of development financing to a well respected residential mixed-use developer backed by the founders of a major publicly listed commodities company.

Hoola Towers was a major new development site in the up and coming Royal Docks near Canary Wharf. The severe shortage of affordable London homes was peaking with significant pent-up demand from first time buyers and overseas investors. However, with development funding scarce, the Hoola Towers transaction was faced with extremely difficult credit markets. Yoo Capital Management identified the off-market opportunity to provide £160M of debt funding at attractive yields and completed within 90 days from initial commitment.

Yoo Capital Management identified an opportunity after observing the retail lending market actively seeking yield and slowly opening back up to residential development. Yoo Capital Management structured, negotiated and closed the loan and successfully sold down a significant portion to a global retail bank, enhancing returns while maintaining primary control over the loan.

Yoo Capital Management acted as the Loan Asset Manager and worked closely with all stakeholders, including the borrower and its investors.