Pictet Alternative Advisors (PAA), an alternative investment business of Swiss-based Pictet Group, continues with its real estate strategy.

Pictet Alternative Advisors (PAA) has acquired 73 new West London residential apartments (pictured) for its real estate strategy, to help ease the shortage of rental properties in the London residential market.

While London’s residential market has withstood recent macro shocks, the lack of professional landlords within the rental sector and declining house price affordability have created an imbalance between the supply and demand of rental properties, the firm said in a statement.



A room in Green Square Lampton Parkside
 

PAA’s investment strategy aims to ease the supply/demand disparity in the London residential market by providing tenants with high-quality, energy efficient homes in well located neighbourhoods with strong transport links, the firm added. PAA said it intends to 'greenify' the assets through initiatives such as fitting solar panels and installing more electric vehicle charging points. It will also help set up a range of tenant support and community initiatives.

Located in Lampton Park in Hounslow, the 73 units comprise over 50,000 square feet and are spread across two unbroken blocks in a multi-phase regeneration scheme, the firm continued.

Each apartment has its own outdoor space, access to communal gardens, bicycle storage and concierge service. The development is EPC “B” rated, after investment into energy efficiency initiatives, including central district heating, heat recovery systems, double-glazed windows and LED lighting. It also includes a planted and grassed podium garden, electric vehicle charging and six waste recycling allocations, the firm added. 

“Today more than 20 per cent of UK households rent their main home compared with below 10 per cent in 1995. This swing from ownership to rental coincides with a structural shortage of professionally-run multi-family developments in the UK,” Ed Jackson, head of UK – direct real estate at PAA, said.  

“Our strategy seeks to address this imbalance and provide Londoners with affordable, energy efficient and well-located homes. With this transaction, and further acquisitions as part of this strategy, we are aiming to create a portfolio of institutional quality and size in one of Europe’s strongest investment markets,” he added.

Pictet, which has acquired ownership of the assets as part of a joint venture with Pinnacle Investments, was advised by Maples Teesdale (legal), Savills (commercial), and Brotherton (debt).

Headquartered in Geneva, the Pictet Group, which has SFr633 billion ($752 billion) in assets under management, offers wealth management, asset management, alternative investments, and related asset services for private clients and institutional investors. Pictet Alternative Advisors (PAA) is an independent unit within the Pictet Group that manages direct and indirect investments in hedge funds, private equity and real estate assets for both private and institutional clients, managing $40.5 billion.