The London-based bank said that the LIBF invests in selected light industrial buildings across the UK. The target cash on cash yield is 8% to 10% per annum, with quarterly cash dividends paid to investors.
According to the BLME, the target IRR (Internal Rate of Return) is 15% for the five-year duration of this closed ended fund. The target close for the fund is between £50m and £100m in equity, which will be leveraged to create a portfolio of up to £200m of assets.
BLME asset Management head Nigel Denison said this is an exciting opportunity for institutions to invest in a different type of UK property asset in a sector which offers excellent potential and value.
The bank said the fund is available to both UK resident and non-UK resident investors and is a compartment of the its Sharia’a Umbrella Fund SICAV-SIF, which is domiciled in Luxembourg.
