John Sims and Angus Scott Brown have re-launched Industrial Ownership "io" with funding from Grosvenor.
The new investment vehicle - I.O. Investment LLP - will be run and managed by I.O. Asset Management LLP, with its management co-investing in the vehicle. io aims to acquire multi-let industrial estates and small business parks throughout the UK, with an initial investment programme of £35m, and will target investment lot sizes of £2.5-4.5m.
Under its new indirect investments strategy, Grosvenor will increasingly use third party specialist expertise to gain exposure to sectors and geographies which are not currently accessible through its proprietary and fund management activities.
The io opportunity is the first investment to further this strategy. It adds to Grosvenor’s existing indirect investments in European shopping centre specialist Sonae Sierra and its co-investments in vehicles managed by Grosvenor Fund Management.
Speaking on the re-launch of io, John Sims said: "Angus and I are delighted to have established this investment vehicle with Grosvenor - we could not wish for better partners to re-establish the io brand "
Chris Taite, Grosvenor Group Investment Director, said: “The io investment is a significant first step in realising our indirect investment ambitions. Grosvenor aims for geographic and sector diversification and our exposure to the industrial sector is a notable omission in the UK. John and Angus’ track record of delivery in this area is exceptional and we share their enthusiasm for this new investment vehicle.”
For more information contact:
Naomi Curtis/Sorrel Basher, Press Office
020 7312 6479/6101
Notes to Editors
Grosvenor is a privately owned property group with offices in 18 of the world’s most dynamic cities. The Group operates and invests in three different business areas; direct proprietary investment in real estate through our Operating Companies in Britain & Ireland, the Americas and Asia Pacific; indirect proprietary investment in real estate managed by others, which is the responsibility of the holding company; and our international fund management Operating Company - Grosvenor Fund Management - which manages capital on behalf of investors. As at 31 December 2011, the Group had total assets under management of £12.5bn. Unusually for a private company, Grosvenor publishes a full Annual Report & Accounts, available at: www.grosvenor.com
Background to io
John Sims established Industrial Ownership (“io”) in 1986 as an asset based Property Company specialising in maximising the value from multi-let Industrial estates;
“The io System” of management – focused on close contact liaison with estate occupiers, specialising in flexible occupation and providing a freedom of choice for occupiers to rent or buy the business units;
A key element of the “The io System” was to ‘reposition’ each estate in the local market by cost effective regeneration and to work closely with the estate occupiers to provide the business environment required;
Through joint venture with the British Coal Pension funds between 1990 and 1995, io recognised the requirements of investors to seek indirect exposure to this high yield – high return – but management intensive asset class;
The investment vehicle “CINio” Ltd out-performed the IPD Industrial index of over this period by 700bps (14% pa v 6.9% pa)