LJ Group Partners with Cresco Capital Group and Commits €100m to German Student Housing Platform

July 17, 2014

LJ Group, the leading privately owned multi-family office, has committed a total of €100 million of equity to Cresco Capital Group’s German student housing venture, Cresco Urban Yurt. The partnership has made its first acquisition, a landmark building on Frankfurter Tor in Berlin and will invest in excess of €60 million into the development.

The LJ Group has partnered with the Cresco Capital Group to create a student housing investment, development and operations platform to deliver managed student housing in leading German university cities.

The partnership also announced its first major property acquisition on Frankfurter Tor in Berlin, which it plans to redevelop into around 552 apartments, including ground floor and basement retail units.

The new student housing venture is led by Alexander Bürk, founder of the Cresco Capital Group and Daniel Schuldig, a former senior Private Equity Executive with extensive real estate investment experience. Cresco Capital Group has acquired and developed properties valued at over €500m since its foundation in 2006, including Soho House Berlin.

LJ Group provides private office, investment advisory, alternative investment, trust and fiduciary services to individuals, family offices and foundations from offices around the world. The Group’s alternative investment business makes direct investments in alternative assets classes, primarily in real estate and private equity connected to the real estate sector. LJ also backs Queensgate Investments, Osprey Equity Partners and Hadley Property Group.

Alexander Bürk said: “The acquisition of the Frankfurter Tor property exemplifies our focus on large redevelopment projects in prime locations. We secured planning for the property in a short space of time by working closely with the local planning authorities, providing a strong concept which will revitalise the property by integrating it into the local community.”

Daniel Schuldig said: “We are building a best-in-class student housing platform delivering attractive dividend yields and strong downside protection for our investors. We have an attractive deal pipeline in place and aim for market leadership.”

Andrew Williams, CEO of LJ Group said: “The team behind Cresco Urban Yurt has an excellent track record in the German real estate development market and we are very excited to work with them and encouraged by the very evident opportunities presented by the student housing market in Germany.”

Further acquisitions are to be announced in Q3 2014. Cresco Urban Yurt also plans to develop other urban residential concepts. For details on the LJ Group, please visit http://www.l-jgroup.com, email info@lj-capital.com

Editor notes

The LJ Group is a leading independent, privately-held multi-family office.

The Group provides family office, investment advisory, alternative investment and trust and fiduciary services to individuals, family offices and foundations.

LJ’s Investment Advisory business provides objective and bespoke investment advice to high net worth private clients, family offices, charitable foundations, trusts and institutions.

LJ’s alternative investment platform identifies direct and co-investment opportunities in real estate and private equity across Europe,Asia, Latin America and Africa.

LJ’s trust & fiduciary division offers a range of structural solutions for families looking to preserve and grow their assets in tax compliant structures.

LJ’s private family office division focuses on the many requirements that successful families have outside of wealth and investment management. It has over 30 years of experience in finding solutions to these requirements and providing a full range of family and private office services.

LJ Group operates from offices in London, Geneva, Hong Kong, Miami, Lisbon, Isle of Man, Neuchâtel and Singapore.

LJ Group are authorised and regulated by the Financial Conduct Authority.