• Direct investment activity to focus on large and concentrated assets in the UK and Canada 
  
  
• International diversification to grow to a quarter of Grosvenor’s balance sheet through its global specialist joint-venture partnership business, ‘Grosvenor Diversified Property Investments’

Grosvenor, an international organisation whose activities span urban property, food and agtech, rural estate management and support for philanthropic initiatives, has revised its long-term international property business strategy.

James Raynor, Chief Executive of Grosvenor Property, explains: “In evolving our international urban property strategy, our ambition remains to deliver lasting commercial, social and environmental benefit.

“Our UK and Canadian property businesses will focus on large and geographically concentrated assets — such as Mayfair and Belgravia in London, Annacis Business Park^[1], and the upcoming Brentwood Block^[2] in Vancouver — to maximise competitive advantage, resilient income, and recurring asset management opportunities. Their scale enables above-market rental growth, the gathering of richer data for decision-making, and the development of innovative services. This concentrated approach also enhances social and environmental impact through improved places, carbon and waste reduction, and urban biodiversity.”

“Both operating companies will also invest in properties that offer strong potential for profit and growth, aiming to boost overall returns through investments and development projects that can also help advance our social and environmental ambitions.”

Complementing Grosvenor’s direct property activities, the business will continue to grow its Diversified Property Investments business (GDPI), building on its success to date. Over the past 13 years, our global investment programme with specialist local third parties has delivered consistently high returns across six continents. As well as strong returns, the approach has given us access to new markets and sectors, offering growth and diversification opportunities from student accommodation in Brazil, medical facilities in the US, to logistics in Poland and India, and build-to-let schemes in Australia.

James Raynor added: “GDPI’s investments will be predominantly value-add in investment style, counterbalancing the more core direct portfolio. The team will focus on sectors and geographies where we are underweight, and have typically shorter investment timeframes, seeking to execute business plans and crystallise capital gains on a regular basis. 

“As part of our revised strategy, GDPI will lead new investments in the US, expanding on its existing programme there, as we shift from direct management to local third-party specialists in this market. This transition means reshaping our US portfolio and adapting the size of our local team to match the needs of the new model. Our current portfolio has a number of exceptional assets and value add opportunities that we are focussed on delivering. We remain strongly committed to investing in the US - the world’s largest and most liquid real estate market – and we will retain a US office presence, but our focus will shift to backing specialist local - third parties as GDPI has been doing in the US since 2012”. 

“We remain deeply committed to pursuing strong international diversification with the ambition of growing GDPI’s international footprint to account for circa a quarter of our balance sheet.  

“I will take over the CEO role of GDPI, as part of my Grosvenor Property CEO role, in July from Chris Taite. Chris is retiring from Grosvenor, having led the GDPI business since its first deal in 2012. Going forward, the GDPI Executive Team will comprise Andy Yates, Chief Investment Officer, Tim Budden, Chief Financial Officer and Nathalie Hakim in a new position as Chief Operating Officer. All three will report to me. I am grateful for the successful business that Chris has established and excited by the prospect of three talented people coming together to form a new leadership team to help drive the business forward”.

ENDS

^[1] Annacis Business Park, an asset held by Grosvenor since 1952, is a manufacturing and distribution hub in the heart of British Columbia. 

² Brentwood Block is a pedestrian-focused, 7.9-acre master planned community in Metro Vancouver set to create nearly 1,300 homes.