DRC Savills Investment Management, the specialist debt investment platform of Savills IM, has formed a joint venture with Quadrant to set up a US real estate debt investment business.
The tie-up marks the first time DRC SIM has offered a US debt investment proposition. The jv is majority owned by DRC SIM and will operate under its US brand.
Quadrant is owned by Kurt Wright, who is also managing partner, Jessica Eggins and Walt Huggins, supported by a team based in Atlanta that manages debt investments on behalf of institutional investors.
Quadrant was established in 2006 following a management buyout from GMAC Institutional Investors.
DRC SIM was founded in 2012 by Dale Lattanzio, Rob Clayton and Cyrus Korat. It has arranged more than £5bn of debt investments and has £2bn of assets under management across a range of senior debt, high-yield and whole loan products. Savills IM bought DRC SIM in May 2021.
Lattanzio said: “This new platform with Quadrant is a full-service, sophisticated US real estate debt investment offering. It will allow our investors to take advantage of the deep combined expertise of both parties and the favourable market conditions for alternative lenders in the US.”
Alex Jeffrey, chief executive of Savills IM, said US real estate debt has “elevated in significance and demand over the past few years”.
“The US is a strategic market for us and to be able to enter through our debt investment business represents a compelling opportunity,” he said.
Wright said Quadrant will combine its deployment expertise in the US with DRC SIM’s capital raising and product structuring teams in Europe “to create a long term offering for our current and future investors”.
To send feedback, e-mail pui-guan.man@eg.co.uk or tweet @PuiGuanM or @EGPropertyNews
