Orchard Street launches Second Special Situations Fund

Orchard Street Investment Management LLP, the specialist commercial property investment manager, and an affiliate of GIC Real Estate, the property investment arm of the Government of Singapore Investment Corporation ("GIC"), have together created a second Special Situations Fund to invest in commercial property throughout the UK in all main sectors of that market. Fund II follows the success of the first Orchard Street UK Special Situations Fund which was formed with the same investors in 2008 and acquired property assets totalling around £130 million.

The Fund which, with debt, will have the capacity to invest in excess of £200 million, will have a six-year lifespan and will seek to make up to 15 individual investments during the next two years. It will include gearing of up to a maximum of 65% of the total value, and will seek individual assets of between £15 million and £50 million.

Chris Bartram, Chairman of Orchard Street, said:

"We are delighted that GIC has agreed to partner with Orchard Street Investment Management for a second time. The first Special Situations Fund launched in 2008, made its major investments in 2009 and has been a great success so far. We have enjoyed working with GIC and look forward to this new collaboration. The object is the same as for the first Fund which is to buy assets with active management potential for improvement. This style of investment is an area of particular experience and expertise for Orchard Street, and which we believe has the potential to generate higher than normal market returns."