Real estate investor targets £150m fund

An East Midlands real estate investment and development business has revealed plans to launch a fund with a potential size of £150m to target “underperforming” urban logistics and distribution warehouses, as well as some office and residential properties.Northampton-based Barwood Capital has unveiled the Barwood Property Fund 2017, a closed ended five-year fund which will exploit the arbitrage between undermanaged secondary commercial property stock and prime income producing investments.The fund will focus on lot sizes between £3m and £20m warehouses which are in demand due to the rise in internet retailing, as well as selected regional offices in “high growth and undersupplied locations”.Barwood Capital is targeting a raise of £75m but this could potentially rise to £150m. It will be the fourth to be launched by the firm since 2009.Its previous 2015 growth fund closed in July 2015 with the ability to secure more than £100m of commercial and residential property assets and is now almost fully invested.