WELPUT celebrates 15 years, as fund remains top performer in its sector
6 April 2016
WELPUT, the specialist real estate fund managed by Schroder Real Estate and advised by Quintain Limited, is celebrating its 15 year anniversary, following the trust’s launch in 2001. Established as a closed ended fund, WELPUT broadened its investable area across central London and converted to an open ended structure following its modernisation in 2014. Today its 85 investors gain access to a diverse portfolio of 12 properties valued at over £1.3 billion.
In 2015 WELPUT completed a major refinancing of up to £200 million with Wells Fargo, in addition to selling two and purchasing four new properties totalling around £350 million. Transactional activity included the trust’s first acquisitions in the City, 31 Bury Street and 7 Bishopsgate, and the sale of 16/17 Connaught Place.
Against this backdrop, WELPUT remains the top performing UK real estate fund over ten years, with a total return of 13.5% per annum (source: AREF/IPD UK Pooled Property Fund Index, December 2015), while it was announced Winner of the Association of Real Estate Funds Award for Five Year Risk-Adjusted Returns in both 2014 and 2015. In 2012 WELPUT won the IPD European Property Investment Award for UK Specialist Fund for performance measured over three years. In 2015, WELPUT continued its pattern of strong returns with a total return of 23.1% compared with its benchmark* return of 20.5%.
Commenting on the 15 year milestone for WELPUT, Nigel Kempner of Quintain Limited said: “We have enjoyed an immensely active and successful 15 years since WELPUT was founded in 2001, holding and proactively managing a total of 32 properties and achieving significant returns for our investors as a result. Having outperformed the industry benchmark over the long term is a clear testament to the success of our strategy to target locations with strong occupier demand demonstrating above average rental growth and to pursue a highly active programme of refurbishment and re-letting.”
Nick Montgomery, Head of UK Real Estate Investment at Schroders, noted: “The past two years have been an exceptionally busy period for WELPUT, with the modernisation to an open ended fund in 2014 and the expansion of the investible area across central London which allows us to follow occupiers into new markets. WELPUT remains among the most liquid real estate funds, and we are delighted that by focusing and delivering on a clear strategy we have generated such a strong return over the past ten years, which includes the global financial crisis, for so many long standing investors.”
*Central London & Inner London Offices segments of the IPD Quarterly Universe