Moorstone - Real Estate Portfolio
- This relatively small portfolio comprised a mix of assets with a range of values from £6.2 million for an office building in Baker Street, London to a small office building in Camberley, Surrey acquired for £0.7 million
- This was Moorfield’s first acquisition through a limited partnership structure after the change in corporate direction and management in 1996. It also established Moorfield’s business relationship with Blackstone Real Estate Advisors (“BREA”) and demonstrated the ability to pursue the business model of establishing limited partnerships with substantial co-investors to acquire assets using Moorfield’s real estate and financial expertise
- The assets purchased were under-managed and under-funded as the portfolio was in a form of ‘intensive care’ within Barclays Bank
- The assets were divided into an investment portfolio and a trading portfolio for business planning purposes
- Five assets were sold in 1997 for approximately £14.5 million compared to a cost of £12.6 million and a further asset was sold in 1998 for £8.4 million against a cost of £6.2 million. The remaining two assets were acquired by Moorfield on an arms-length basis for £5.1 million when BREA wished to liquidate their equity position for non asset related business reasons. Moorfield subsequently sold these assets for £5.6 million