CDN Homes, a London residential property operator, has raised AED 40 million (approximately US$10.9 million) in growth capital from family offices in Riyadh and across the Gulf. Wrotham Partners acted as exclusive placement agent and financial adviser on the transaction.
CDN Homes builds and operates residential property in London and leases it on contract to public bodies, including social housing providers, and to corporate clients such as insurers. Because the homes are let to institutions rather than to individual tenants, investors gain exposure to London residential property with public-sector and corporate counterparties.
The capital will support the company's expansion across London and the continued development of Project Pilot, its in-house software that brings tenancy management, maintenance, inspections and rent administration into one platform.
Wrotham Partners ran the raise from start to finish: identifying and approaching the family offices, structuring the investment and managing the process through to close.
"Gulf family offices know residential property well," said Ali Govani, Founding Partner at Wrotham Partners. "What stood out here was an operator whose income is contracted with public bodies and large corporates, and which is building its own software to run the portfolio. Our job was to bring in the right capital and structure it so both sides were aligned."
"Wrotham Partners' standing with Gulf allocators compressed a process that usually runs far longer. The investors arrived with conviction already established, so diligence moved quickly and terms were agreed without protracted negotiation," said Joe Cadden, Director of CDN Homes. "The capital lets us build out our London operations and put proper investment behind Project Pilot."