London-based property investor Castleforge has secured £150 million of backing from US real estate specialist Conversant Capital to target opportunities in the Central London office market.
The commitment, made through Castleforge’s Partners V Special Opportunities Fund, will be deployed across acquisitions and structured capital solutions, with capacity to invest in more than £1 billion of assets over the coming years.
Initial deals include a £90 million recapitalisation of 55 Mark Lane, a 162,000 sq ft office in the City’s insurance district, and the acquisition of a secondary interest in 75 London Wall, Castleforge’s 500,000 sq ft flagship redevelopment project.
Michael Simanovsky, managing partner of Conversant, says London’s current shortage of Grade A space offers “an exceptional opportunity” to generate returns amid rising occupier demand and constrained supply.
PRIME OFFICE SPACE
Michael Kovacs, founding partner at Castleforge, adds: “Central London remains one of the most dynamic office markets in the world, yet the imbalance between supply and demand is now more pronounced than ever.
“With Conversant’s support, we are well-positioned to deliver prime, well-located office space at a time when companies are looking to bring employees back to the office and prioritise quality, connectivity, and sustainability.”
