stats
globeinteractive.com: Making the Business of Life Easier

   Finance globeinvestor   Careers globecareers.workopolis Subscribe to The Globe
The Globe and Mail /globeandmail.com
Home | Business | National | Int'l | Sports | Columnists | The Arts | Tech | Travel | TV | Wheels
space


Search

space
  This site         Tips

  
space
  The Web Google
space
   space



space

  Where to Find It


Breaking News
  Home Page

  Report on Business

  Sports

  Technology

space
Subscribe to The Globe

Shop at our Globe Store


Print Edition
  Front Page

  Report on Business

  National

  International

  Sports

  Arts & Entertainment

  Editorials

  Columnists

   Headline Index

 Other Sections
  Appointments

  Births & Deaths

  Books

  Classifieds

  Comment

  Education

  Environment

  Facts & Arguments

  Focus

  Health

  Obituaries

  Real Estate

  Review

  Science

  Style

  Technology

  Travel

  Wheels

 Leisure
  Cartoon

  Crosswords

  Food & Dining

  Golf

  Horoscopes

  Movies

  Online Personals

  TV Listings/News

 Specials & Series
  All Reports...

space

Services
   Where to Find It
 A quick guide to what's available on the site

 Newspaper
  Advertise

  Corrections

  Customer Service

  Help & Contact Us

  Reprints

  Subscriptions

 Web Site
  Advertise

  E-Mail Newsletters

  Free Headlines

  Globe Store New

  Help & Contact Us

  Make Us Home

  Mobile New

  Press Room

  Privacy Policy

  Terms & Conditions


GiveLife.ca

    

PRINT EDITION
Timbercreek launches second Irish property fund amid Brexit chaos
space
space
By ANDREW WILLIS
  
  

Email this article Print this article
Monday, March 18, 2019 – Page B1

Canadian real estate fund Timbercreek Investment Management Inc. is launching its second Irish property fund to take advantage of the Brexit chaos, which is driving companies out of the United Kingdom and into cities such as Dublin.

Toronto-based Timbercreek has invested $9-billion in global property markets, by both directly owning buildings and making real estate loans.

The fund began lending on Irish projects from an office in London in 2012.

Timbercreek chief executive Blair Tamblyn said he quickly realized that relatively low competition from rival lenders and strong demand for commercial real estate financing meant "Ireland offered far better opportunities than markets such as London and other major European centres."

In 2017, Timbercreek opened an office in Dublin with a threeperson team and raised a 200million ($300-million) dedicated Irish real estate debt fund.

By the end of last year, the fund had made 19 mortgage loans totalling 118-million on office buildings, retail and residential properties, and the portfolio earned a 7.9-per-cent annual return.

It recently launched a second Irish real estate finance fund for institutional clients, which include pension plans, insurers and wealthy individuals.

The new fund still needs to be approved by Canadian regulators, and Mr. Tamblyn could not comment on specifics, but it is expected to be larger than the employeeowned firm's first Ireland fund.

Timbercreek's Irish operations are led by Paul Roddy, who previously worked at the Irish Bank Resolution Corp., a governmentcontrolled entity created in 2009 to manage two failed banks. In an interview, Mr. Roddy said the threat of Brexit has already seen companies in sectors such as banking, insurance, pharmaceuticals and technology expand their operations in Dublin, often by moving employees from offices in London, and more immigration is expected.

"Ireland will represent a unique opportunity for foreign companies to maintain access to both the European and U.K. markets, he said.

Ireland was hit hard by the global financial crisis of 2008, and Mr. Roddy said many commercial properties have been poorly cared for since then and need significant renovations to meet the needs of global companies moving to the country. Timbercreek expects to finance upgrades to these office and retail properties.

In addition to rising demand for office space, he said Dublin's residential real estate market is being squeezed by incoming workers who need a place to live, and Timbercreek expects to lend to condominium developers.

Ireland's real estate market features domestic and international lenders willing to provide large mortgages on major buildings and developments, but very few mid-market players willing to lend on smaller properties, according to Mr. Roddy. So Timbercreek's focus is on making shortterm mortgage loans on midsized commercial properties. For example, the firm's first Irish fund made a $34-million loan on a student residence that will be repaid in 25 months, as well as a $16.3-million, 24-month loan on a retirement home.

Timbercreek was founded in 1999 and initially invested directly in real estate. The company now owns 200 apartment buildings with 23,000 units. The fund began lending on properties in 2007 and expanded that expertise in 2016 by hiring veterans of General Electric Co.'s real estate division, including Timbercreek global head of debt Bradley Trotter, a former president of GE Capital's North American real estate unit.

Timbercreek is the latest in a series of Canadian financial companies to invest in Ireland during troubled times. Prem Watsa's Fairfax Financial Holdings Ltd.

was part of a consortium that recapitalized the Bank of Ireland in 2011 and exited the holding after about four years, pocketing a gain of more than 500-million. Desmarais family-controlled GreatWest Lifeco Inc. acquired Irish Life Group Ltd. from the country's government in 2013 for $1.75-billion, and Irish Life subsequently made a series of small acquisitions in the country.

Associated Graphic

Timbercreek Investment Management is launching its second Irish property fund to take advantage of the Brexit chaos, which is driving companies out of the United Kingdom.

PETER MUHLY/AFP/GETTY IMAGES


Huh? How did I get here?
Return to Main Roy_MacGregor Page
Subscribe to
The Globe and Mail
 

Email this article Print this article

space  Advertisement
space

Need CPR for your RSP? Check your portfolio’s pulse and lower yours by improving the overall health of your investments. Click here.

Advertisement

7-Day Site Search
    

Breaking News



Today's Weather


Inside

Rick Salutin
Merrily marching
off to war
Roy MacGregor
Duct tape might hold
when panic strikes


Editorial
Where Manley is going with his first budget




space

Columnists



For a columnist's most recent stories, click on their name below.

 National


Roy MacGregor arrow
This Country
space
Jeffrey Simpson arrow
The Nation
space
Margaret Wente arrow
Counterpoint
space
Hugh Winsor  arrow
The Power Game
space
 Business


Rob Carrick arrow
Personal Finance
space
Drew Fagan arrow
The Big Picture
space
Mathew Ingram arrow
space
Brent Jang arrow
Business West
space
Brian Milner arrow
Taking Stock
space
Eric Reguly arrow
To The Point
space
Andrew Willis arrow
Streetwise
space
 Sports


Stephen Brunt arrow
The Game
space
Eric Duhatschek arrow
space
Allan Maki arrow
space
William Houston arrow
Truth & Rumours
space
Lorne Rubenstein arrow
Golf
space
 The Arts


John Doyle arrow
Television
space
John MacLachlan Gray arrow
Gray's Anatomy
space
David Macfarlane arrow
Cheap Seats
space
Johanna Schneller arrow
Moviegoer
space
 Comment


Murray Campbell arrow
Ontario Politics
space
Lysiane Gagnon arrow
Inside Quebec
space
Marcus Gee arrow
The World
space
William Johnson arrow
Pit Bill
space
Paul Knox arrow
Worldbeat
space
Heather Mallick arrow
As If
space
Leah McLaren arrow
Generation Why
space
Rex Murphy arrow
Japes of Wrath
space
Rick Salutin arrow
On The Other Hand
space
Paul Sullivan arrow
The West
space
William Thorsell arrow
space





Home | Business | National | Int'l | Sports | Columnists | The Arts | Tech | Travel | TV | Wheels
space

© 2003 Bell Globemedia Interactive Inc. All Rights Reserved.
Help & Contact Us | Back to the top of this page