Summary Overview March 2021 - Patron Capital
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Summary Overview March 2021
Patron Capital Overview
• Established European property investor over 21 years
➢ Operations across Europe with advisory offices in the UK, Luxembourg and Spain with major operating
partners in most markets including in Germany, France, Poland and Portugal
➢ Experienced 70-person team including 28 investment professionals, supported by 12 advisers, with
regional and product focused expertise
o Average of 20 years experience across the investment team
➢ Hybrid owner operator model supporting local partners across Europe
➢ 7 Fund Vehicles closed over 21 years, raising ca. €4.3 bn from
SWFs, pension plans, endowments, and charities
➢ 87 Investments closed in 16 countries
➢ Strong ESG focus, including lead donors for disabled veterans,
teacher development, and recently launched a dedicated
housing Fund for women suffering domestic abuse.
2
Patron Capital Fund History
• Seven Funds raised over 21 years, with combined capital of over €4.3 billion, including co-invest vehicles
C. £62,000,000 $109,700,000 €303,000,000 €895,000,000 €1,100,000,000 €948,632,391
(including €100,000,000 dedicated (including €143,000,000 of
(C. €96,000,000) (with GP commitment of
discretionary co-investment pool co-investment capital )
up to €45,000,000)
and apx. €220,000,000 of co-
investment capital within
investments)
PATRON CAPITAL
PATRON CAPITAL I PATRON CAPITAL II PATRON CAPITAL III PATRON CAPITAL IV PATRON CAPITAL V
CAPTIVE FUND
DEDICATED FUND RAISE TARGETING OPPORTUNISTIC
FOR THE ACQUISITION OF Pan-European value Pan-European value-oriented Pan-European value-oriented Pan-European opportunistic
oriented property and asset property and asset-based property and asset-based distressed property and asset DISTRESSED AND UNDERVALUED
OCWEN UK (RENAMED
based corporate investments corporate investments corporate investments based corporate investments PROPERTY AND PROPERTY
IGROUP) A LEADING
RELATED INVESTMENTS ACROSS
PLAYER IN THE SUB-PRIME
EUROPE
MORTGAGE MARKET
October 1999 October 2002 October 2004 March 2007 July 2012 July 2016
PATRON CAPITAL VI WOMEN IN SAFE HOMES FUND
In December 2020, Patron closed €844m for Fund VI and related pools • £200m Fund, launched Dec. 2020, seeded with ca. £17m
• 83% of capital re-invested from existing investors and relationships • Provides housing for women suffering domestic abuse
• Fund size of €716m plus co-invest pools of €128m and ex-offenders
• Core UK Residential Strategy
3
Deep Value Investment Strategy
• Identify granular and/or complex Value
opportunities and properties within Indicator Classic Investment Path
corporates Multiple/IRR
Net Margin
• Value-add through asset management, 2.2x/20-25%
improved strategy and introduction of clear +50% 2020-2024 Opportunistic Zone
focus, sell into domestic market once asset
stabilised 1.8x/17-20%
+35%
• Drive net equity multiple of 1.6x+ over 3-5
years 1.5x/17-20%
+20%
➢ Target unlevered p.a. return of 11%-13%;
approximate net profits of 35%-45% on
total cost >1.0x/5-10% Patron Zone
+10% (less leverage)
➢ Use leverage 50%-65% LTC debt to move
levered returns to 16%+ and 1.6x+ equity 0%
multiple
• Ensure fund/capital pools properly
diversified; limited development risk
• Limit leverage as tail risk protection
6m 1y 2y 3y 4y 5y
Time
4
Deep Value Investment Strategy
Focus on Investments below Intrinsic Value
Target %
Value Add Non-Core and Property assets below intrinsic value deemed non-
40-50%
Distressed Property core by parent/owner
Companies with strong cash flow and value
supported by underlying real estate assets,
Operational Real Estate 20-50%
20-30%
properties that have operational-tied variable cash
CALA Banner
flow
Challenged situations solved by repositioning assets
Complex Positions 10-30%
or platforms for broader market appeal
Real Estate Portfolios / Financial securities (e.g., loans, equity release)
10-20%
Credit backed by real estate, typically residential
• Target levered return: 16%-20% IRR, 1.6x-2.0x+ equity multiple
• Over 21 years, average 15% IRR in main opportunistic strategy
5
Patron Platform – Integrated and Interactive (40)
• Dedicated 70-person team including 40 investment professionals averaging 20 years of experience and Senior Team averaging 26 years of experience
Keith M. Breslauer
Shane Law
COUNTRY FOCUS PRODUCT FOCUS GENERALISTS
Mark Collins Irina Stamate-Rocha ACROSS EUROPE, ACROSS PRODUCTS
Daniel Weisz Fei Xie
Pedro Barcelo Tim Street * Wiktor Lesinski Juan Du
Arnau Osorio Danny Kay *
Yolanda Leal Tim Swift Leonardo Kutova
Ashish Kashyap *
Alejandro Pasquin
Nate Kornfeld * Nicolò Benzi Clothilde Guittard
Vicente Conesa *
Christoph Ignaczak Stephen Green Julius Kühn
Julian Rosenberg
Gareth Henry KEY
Matteo Busà Matthew Utting
Senior Team Member * Senior Adviser
Sir David Capewell *
Healthcare Development
Jonatas Szkurnik
Kevin Cooke
Pubs Education
Richard Sykes
Rafael Fitoussi Strategy & Business
Emilio Cereijo Corporate
Development
Home Building Commercial Credit &
ADVISERS Distressed
Residential & Consumer
Bertrand Schwab Jason Meads Robert Booth Distressed Hotels & Leisure
Social Impact (WISH Fund) Project Management
Rod MacKinnon Michael Capaccio Guillaume Lefort
6
Patron Support Team, Risk and Compliance (30)
Senior Team
Keith M. Breslauer
Investment Team
Managing Director
Shane Law
Chief Operating Officer
Jackie Burn *
Human Resource
Legal Finance & Tax Luxembourg
Kendall Langford Mark Parnell
General Counsel/Compliance Finance Director Geraldine Schmit Steve Van Den Broek
In Recruitment Andrew Haig Managing Director COO
William Davies-Humphreys Caroline McGrath Group Financial Accountant Financial Accountant/
Legal Associate Investment & Closing Fund Modeller
Michael Haydon Andreas Blom Halim Mekbel
Moses Kim Denise Goodwin Richard Carter Senior Accountant Senior Accountant Accountant
Transaction Assistant Investment & Tax Assistant Fund Accountant
Senior Advisers
Suchilla Dillon Sylvie Nucera Jonathan Paganelli Lorane Gehin
Daniel Cohn Farhod Moghadam Accountant Senior Corporate Corporate Officer
Accountant
Senior Legal Counsel Senior Legal Counsel Officer
Administration
Floella Johnson Lisa Dave Chloe Wilson Hayley St Ange Kalie Coveley Charlene Carr Victoria Collins Meritxell Gonfaus Stephanie Erpeldinger
PA to Keith M. Breslauer Senior Team PA Senior Team PA Team PA Team Support Legal PA Finance PA Admin, Spain Admin, Lux
* Senior Adviser
7
Investment Performance – Overall
• Since 1999, Patron has invested in 83 investments totalling €3.0 billion of equity and over €12 billion of
gross asset value predominantly across Western Europe
➢ The primary strategy, comprising 87% of invested equity, is towards opportunities in Western
Europe. Notwithstanding the effects of the GFC, these investments have seen very positive returns
➢ Patron’s overall performance since the GFC has been significantly higher
Invested & Total Realised
Number of Identified Realised Unrealised & Unrealised Gross Equity
Past Eighteen Years Investments Equity Proceeds Proceeds Proceeds Gross IRR Multiple
Western Europe 77 €2,710m €2,955m €1,210m €4,165m 15% 1.5x
(primary strategy)
Post GFC 51 €1,862m €1,978m €1,183m €3,162m 19% 1.7x
Note: Performance figures as at December 31, 2020
8
Patron Strong Involvement in Social Responsibility
• Patron has had a strong social responsibility DNA since its inception and is now a signatory of the PRI
To date, Patron Charitable Initiatives have helped…
10,000+ 35+ £200m,
£3.0m+
Raise for RMC UK teachers Villages in 750+ homes
& in kind given impacted Nepal & Women in
700,000+p.a 4,000+ Safe Homes
to 220+ Fund,
servicemen school children school children
launched 2021
WORKING HARD TO HELP CHANGE THE WORLD
9
Awards - Past Year
2021 2021 2020
Property Manager Property Manager 2020 Opportunistic Fund of
of the Year of the Year Social Impact Award the Year
Shortlisted Shortlisted
* Winner not announced yet * Winner not announced yet
2019 2019
2020 Best Delivered 2019
Corporate Social Healthcare
Property Manager Scheme outside of Responsibility Award Property Developer of
of the Year London under
35,000sq/ft the Year
10Specific Investment Review
Selected Opportunities
(ordered by Fund and by investment size within each Fund)
11Saxon Court (Fund VI)
Transaction Summary:
• Acquisition of an existing office building plus adjacent land on a
2.35 acre site in Central Milton Keynes, UK. The business plan
envisages the refurbishment and extension of the existing office
building and development of a new residential scheme on the
adjacent plot.
• This is an interesting investment opportunity due to (i) limited
supply of new Grade A office, and (ii) the strong local economy
in Milton Keynes supported by the new Milton Keynes University
(15,000 student capacity) and the development of Santander HQ
(5,000 employees),
Business Plan / Strategy:
• Refurbish and extend the existing office component by 2.5 floors
to deliver 242,965 sqft (GIA) of new Class A office;
• Develop 285 residential units across 3 blocks comprising BTR
(197 units) and DMR (88 units).
12Benelux Aramis (Fund VI)
Transaction Summary:
• Acquisition of a distressed 10-story A- office building comprising c.19,600 sqm
of high-quality space
• Located in the Brussels Airport District, a sub-market that benefits from low
municipal taxes and strong infrastructure links via the Brussels airport and
convenient access to Belgium’s major highways
• This is an attractive investment opportunity due to (i) established office location,
with limited supply of Grade A office space, (ii) good quality asset (11 years old
and the youngest building within the surrounding office park), (iii) historic under-
management and recent exit of a main tenant from the Asset resulting in low
occupancy (32% vs. c.90% in neighbouring assets) and providing value-add
opportunity
Business Plan / Strategy:
• Capture of current COVID-market disruption to acquire asset at an attractive
purchase price
• Lease-up of vacant office space to raise occupancy
• Implementation of capex program for necessary repairs and amenity upgrades
13UK Consumer – Retirement Bridge (Fund V)
Opportunity
• Grainger, a listed residential property company, changed its focus to developing PRS units
and decided to sell its non-core Retirement Solutions (RS) business. The business
comprises a portfolio of over 3,800 ‘Home Reversion’ equity release assets.
• On 31st December 2015, Patron exchanged contracts with Grainger to acquire the RS
Business.
• Completion took place in May 2016 post regulatory approval – renamed Retirement
Bridge Group.
• June 2017 – acquired Sovereign Reversions (c. 700 assets)
Home Reversion
• Home reversion is an equity release product where the homeowner sells part or all of the
equity in his home in exchange for a discounted appraisal value of the equity and a right to
live in the property until it is vacated upon the occupant’s death or move into long term
care.
• The industry underwent a significant improvement in market perception after home
reversions were regulated by the FCA since 2007.
Portfolio (as at May 2015 cut-off date)
• 3,839 properties located across the whole of the UK, with concentration in the south of
England.
• Very seasoned portfolio (over 10 years on average) with average age of tenant of 82 years.
Business Plan
• As part of the acquisition, Patron acquired the platform, including staff, systems,
regulatory licences, brand and any other intellectual property.
• Strategy assumes no new origination or acquisition and sale of the business in 4 years.
14UK Consumer Leisure Program (Fund V)
• The acquisition of Punch Taverns Plc in August 2017, following
Competition and Mergers Authority approval. The acquisition was
funded in part by the simultaneous back to back sale of a
substantial portfolio of Punch’s assets to Heineken.
• A total of 3,254 pubs were acquired, of which 1,879 were sold to
Heineken. Patron retained ownership of 1,375 pubs and the head
office operations, of which 1,323 are held in a securitisation
structure and 52 pubs and the head office operations held at
TopCo.
• Add-on acquisition of Laine in 2018 with 55 pubs and other single
assets, small portfolios
• The business plan is predicated on
➢ strategic capex across the core estate to improve the underlying
quality of the portfolio
➢ continued roll-out of a hybrid tenanted / managed operating
model
➢ sale of the non-core pubs
15Spanish New Residential Program (Fund V)
• Investments in new-build residential developments across Spain
• Focus on small developments (30-70 units), targeted to mid-
market consumers
• Projects undertaken with two separate local partners, each with
different geographical focus
• Currently 12 projects, encompassing 611 residential units
• Strategy comprises purchase of land subject to planning
permission, followed by construction
16GSPP – Cologne, Germany – sold (Fund V)
• Acquisition of a 14,372 sqm office building on the
border of Cologne’s city centre, with significant and
unique redevelopment potential in an economically
strong and affluent city with a good micro location and
excellent connections to public transport.
• Seller was Patrizia who shifted strategy from a direct
investor to primarily a Spezialfonds manager. As a
result the asset became non-core for them.
• JV partner is Development Partner AG, an experienced
office and retail developer and investor with a strong
track record.
• Strategy to reposition the asset as a good building and a
cheaper alternative within the premium segment which
is undersupplied in the local market, supported by an
extensive capex program and lease up of the asset.
• Sold in July 2019 to AEW
17UK Care Home Program (Fund V / IV / III)
• In late 2009 strategy initiated to take advantage of:
➢ imbalance between demand for high quality accommodation, care and
services and current old/poor supply
➢ impact of an ageing population
➢ current market conditions – led to overleveraged larger players or smaller
poorly capitalised operators unable to take advantage of new
• Strategy to build platform of at least 15-20 care homes within approximately 4
regional clusters in the UK
• Achieved through acquisition of land and subsequent development and
acquisition of existing operational premium care homes
• Management team established at Opco level to manage homes and program
• As of August 2014 - across both funds
➢ 10 sites operating and 1 under development – “core”
➢ 10 sites acquired or exchanged subject to planning for construction over the
next 18 months – “pipeline”
• In August 2014 sold the core portfolio and the operations to Health Care REIT
(HCN) and Sunrise Senior living
• Partnership with HCN agreed to develop out current 10 site pipeline plus
additional opportunities
• Current portfolio of 42 sites / homes (Fund V and IV)
➢ 11 acquired, and sold as part of original HCN/Revera partnership - now
ended
➢ 31 outside of agreement acquired / exchanged subject to planning / site sales
/ operating homes, of which 2 sold and 4 forward sold
18CALA Homes - sold (Fund IV)
• Acquisition in March 2013 of CALA Homes, a leading UK premium volume house builder
from Lloyds Banking Group (“LBG”) as part of bank’s non-core asset disposal strategy and
subsequent add-on acquisition in March 2014 of Banner Homes
• CALA is a national house builder with a 15,846 plot land bank equivalent to c.6.8 years of
production. CALA achieves the highest average selling price (“ASP”) among the UK
volume house builders, £509k vs. average of £233k
• CALA focuses on 3+ bedroom, single family homes in affluent districts of the UK, with
customers who are generally equity rich, with average LTVs of 65%
• For strategic as well as capital diversification reasons, Patron brought Legal & General CALA
(“L&G”) and Electra Partners into the investment with Patron at 37%, L&G holding
47.5%, Electra 10.5%, management 5% - from a governance perspective Patron retains
Banner
operational control, with both Patron and L&G having board seats and Electra having a
passive role subject to material matters above a 10% of EV threshold
• Management team includes 21 professionals led by Alan Brown, CEO and Graham Reid,
CFO, who successfully turned around the CALA after the downturn and the LBG debt for
equity swap
• Business plan is predicated on the build out of the land bank acquired during the downturn
at attractive terms and the build out of “legacy” sites acquired pre-recession improving
gross margin from 16% at the time of acquisition to 21%. Profits generated from
developments are sufficient to replenish the land bank and position the business for exit
• In March 2014 CALA acquired Banner Homes, a leading premium house builder operating
in the South East and Midlands with a land bank of 2,360 plots and turnover of c.£140
million
➢ Banner greatly increased CALA’s exposure to more affluent areas in the South East of
England and the increased scale will improve the combined business margins through
operational leverage
• March 2018 – sale of Patron interest to Legal & General
19Motor Fuel Group - sold (Fund IV)
• 89% equity share in the property assets and business of Motor Fuel Group (“MFG”), the 2nd largest Asset Location Map – MFG & Target Portfolio
independent owner & operator of convenience retail / petrol filling stations (“Forecourts”) in the UK
➢ Total of 373 operational Forecourt assets – pro forma 333 (89%) freeholds and 40 (11%) leaseholds, with
unexpired lease terms typically in excess of 25 years
• Joint venture with Alasdair Locke, high-net-worth veteran of the oil, property and insurance industries, and
new management team
➢ Highly specialist and experienced partner with over 450 previous successful forecourt acquisitions,
turnarounds and asset managements to their credit
➢ Management team includes several experienced executives ex Murco UK (the UK subsidiary of Murphy
Oil)
• Initial MFG Platform investment completed Dec 2011 – corporate acquisition of the business and portfolio of
47 Forecourts, MFG then being the 5th largest independent forecourt owner /operator in the UK.
➢ Intrinsically high quality assets, significantly underperforming against industry average and historic
performance
➢ Business plan focussed on enhancing operations and profitability of retail assets via conversion to
efficient ‘Commission Operator’ management structure, systemic shop rebranding, dedicated capex
programme and improved supply agreements
• Enhanced returns from bolt-on acquisitions of additional PFS assets/portfolios - key ones include:
➢ “Scorpion Portfolio” acquisition, July 2013 - freeholds of 53 sites, let on long leases to Murco
Petroleum Limited (“Murco”)
➢ Murco Business acquisition, Sept 2014 - entire UK retail business of Murco, primarily consisting of a
portfolio of 223 high-quality Forecourt assets (including the Scorpion leaseholds), acquired by MFG
effectively off-market MFG (288) Shell (90)
➢ “Project Strawberry” - contracts exchanged 10th April 2015 for the acquisition of a portfolio of 90 MFG (288) Shell (90)
Forecourts from Shell. Final completion October 2015, funded by senior debt refinance plus cash on
MFG’s balance sheet - no new equity required
• July 2015 – sale of platform to Clayton, Dubilier & Rice
20UK Mortgage Investments – sold (Fund IV)
Opportunity
• Deleveraging by UK high street banks has resulted in a significant
undersupply of secured credit, creating an opportunity to create a high
yield secured lending platform, focusing on products like second charge
(2nd mortgage) loans, short-term (bridge) loans and shared equity
mortgages and achieve 8%+ unlevered yield
• In July 2013, Patron backed the senior management team of Nemo
Principal Finance, the only mainstream UK second charge mortgage
lender to survive the credit crisis, to setup a new platform and originate
second charge loans, leveraging their significant credit experience and deep
broker relationships
Business Plan
Second Charge Mortgage Product • Target product segment - Prime credit with 65-70% average
• Loan to homeowner secured through a second charge on the property, LTV
typically for debt consolidation and home improvement; consolidation • Mid 2017 - launched near prime product up to 75% LTV
results in lower monthly outgoings • Funding through senior debt from banks at significant
Shared Equity Product advance rate and through capital markets and sales
• Shared equity mortgages are loans from housebuilders to new home • Securitisation of loan book completed July 2017
buyers which are secured through a second charge and have an equity • Explore optionality in the platform - (a) additional secured
share in the underlying property loan products and (b) secondary loan portfolio acquisitions –
acquired and further being explored
• Acquisition of loan portfolios, using established Optimum platform for
asset management
• December 2018 – sale of platform to Pepper Group
21UK Small Property Program – sold (Fund IV)
• Investment program targeting acquisition of undervalued commercial properties in strong regional
commercial centres in the United Kingdom
• Program is primarily carried out in JV with Alliance Property Asset Management Limited - a UK asset
manager with significant experience in UK commercial markets and extensive existing asset
management/asset work relationships with UK banks and institutions
• Program Strategy:
➢ Targeting commercial or mixed use assets sub £20m lot size with value-add potential or undervalued
opportunities;
➢ UK focus, with particular emphasis on 2nd and 3rd tier centres still to be impacted by positive
inflows from institutional market
• First Investment - April 2014 - Thorpe Park, Leeds; (3% of program)
➢ 21,000 sqft fully let office building located on out of town Leeds business park. Single tenanted
office space with ground floor retail element
• Second Acquisition - December 2014 - Crossways, Dartford; (9% of program)
➢ 42,600 sq ft office in two Grade A detached office buildings located on Crossways Business Park in
Dartford, South East of London, with 25,500 sqft /60% vacancy in one building
• Third Acquisition - March 2015 - Arlington Business Park, Reading; (54% of program)
➢ 330,000 sqft in ten office buildings (with industrial asset sub-sold in April 2015) located on Arlington
Business Park in the Thames Valley / out of town Reading market - a key established office market
(West of London), with c. 105,000 sqft vacancy / 30% of space – subsequent 29,500 sqft 100%
leased add-on asset in November 2015
• Fourth Acquisition - April 2015 - The Mint, Leeds; (27% of program)
➢ 118,000 sqft modern office building located in Central Leeds, 94% let on acquisition to two tenants,
Asda and Dart PLC
• Fifth Acquisition - Sep 2015 – Quattro (Basingstoke, Cardiff, Luton); (7% of program)
➢ 68,000 sqft in three office buildings with 35% vacant space across to assets
22Merin – sold (Fund IV)
• Effectively a portfolio of 202 office and industrial buildings totaling 1.1 million sqm
across The Netherlands, along with its management business
• The acquisition was facilitated through the default of the CMBS vehicle (Opera-
Finance) in February 2012 which in turn led to the acquisition of the Class A bonds
(€360m), the subsequent enforcement of the senior loan and ownership of the
underlying assets, with the equity shares of the company Uni-Invest to follow
• Acquired in a joint-venture with TPG Capital, and financed by 60% vendor loan
from the existing Class A noteholders
• The 202 assets comprise of:
➢ ca 590,000 sqm of B-Class office space, with ca 47% vacancy
➢ ca 500,000 sqm of industrial and logistics space, with ca 20% vacancy
• Strategy includes:
➢ Disposal of well-let element of portfolio (14% by sqm) in the medium term
➢ Disposal of approximately (20% by sqm) of assets for land value less demolition
costs
➢ Increasing occupancy across 64% of the assets through selected refurbishment
of between €100-€300 psqm and lease up at rents of of €85 - €100 psqm p.a. for
offices and c. €40 psqm p.a. for industrial space, which represents ca 15 - 20%
discount to comparable assets
• First add-on acquisitions closed in December 2013 (MSREF - 3 properties, 43,000
sqm) and December 2014 (Trois - 3 properties, 18,000 sqm); other value enhancing
opportunities involving other large Dutch office operators are being explored
• July 2017 – sale of platform to Dream Global REIT
23The Spencer - sold (Fund IV)
• Acquisition of the Clarion Hotel in Dublin, Ireland. The Hotel had been in administration
for nearly 3 years and was underinvested with a poorly motivated management team and a
poorly performing brand. The Hotel was financed by a loan owned by the National Asset
Management Agency (“NAMA”), the Irish-state-owned ‘bad bank’, who was the ultimate
seller.
• Hotel is a modern (opened in 2001) purpose-built 165-room (consisting of 15 suites /
family rooms and 150 standard rooms) 4-star hotel fronting the River Liffey in the
International Financial Services Centre (“IFSC”) in Dublin. The Hotel benefits from 10
conference rooms (catering for between 10 and 150 delegates), a leisure club (including an
18m heated swimming pool; the leisure club has c.1000 members), two dining options and
a bar.
• The Hotel is held on a long lease (184 years remaining) from the Dublin Docks Authority.
The Hotel was previously managed by Choice Hotels Ireland and traded under the Clarion
brand. The Hotel benefits from a strong location in the IFSC (a successful financial
services hub).
• The operating partner in the transaction is Fitzpatrick Lifestyle Hotels (“Fitzpatrick”), an
experienced local owner and manager of mid-market hotels. Hotel is being run on an
independent basis, managed by Fitzpatrick, and rebranded as part of the Fitzpatrick
collection as The Spencer (as announced and launched in March 2014).
• A key part of the business plan was the investment within the first six months of
ownership to refresh the guest rooms, update the health club and the public areas,
including full relaunch of the food & beverage outlets – completed and full launch took
place in July 2014
• Sold November 2016
24Generator Hostel Program – sold (Fund III)
• Acquisition of budget youth hostel accommodation portfolio and the Location Tenure Opening Beds Rooms
Avg Beds
Per Room
management operations from family owned business based in London FH 1994 872 212 4.1
London, with properties in London and Berlin: Berlin East LH 2002 892 235 3.8
Copenhagen FH 2011 662 175 3.8
➢ The Generator Hostels Ltd: operating company and all Dublin FH 2011 539 106 5.1
intellectual property including brand name “Generator Hostels” Venice FH 2011 684 161 4.2
Hamburg FH 2012 235 29 8.1
➢ London Freehold: 872 Beds (60,000 ft²), which has now Barcelona FH 2013 727 154 4.7
completed a full refurbishment to bring rooms and public areas Berlin Mitte
Paris
FH
FH
2013
2015
568
917
146
199
3.9
4.6
in-line with newer properties. Amsterdam FH 2016 566 168 3.4
Stockholm LH Jul 2016 826 233 3.5
➢ Berlin Leasehold: 892 Beds (80,000 ft²) Rome FH Q3 2016 244 75 3.3
• Further hostels acquired since initial acquisition and now operating: Madrid
Miami
FH
FH
H2 2017
H2 2017
532
358
128
101
4.2
3.5
Copenhagen, Dublin, Hamburg, Barcelona, Berlin Mitte, Venice and Total 8,622 2,122 4.1
Paris
• Newest assets Amsterdam and Stockholm opened in H1 2016
➢ Rome in Q3 2016
• Sites recently acquired: Madrid and Miami – both under development
to open in 2017
• Active pipeline of hostels within Europe and North America –
includes freehold, leasehold and management contracts
• Sale exchanged March 2017, completed May 2017
25Simon Storage - sold (Fund I)
• UK’s leading independent bulk liquids and gas terminal operator
and manager – warehousing
• Operated out of 7 sites with 500 bulk liquid and gas tanks and 1
million m3 capacity, handling in excess of 4 million tonnes per
annum
• Customers primarily blue chip international oil & petrochemical
companies
➢ Majority of income (approximately 70%) operating under
Immingham Terminal
long-term agreements (up to 10 years), or stable relationships
(many over 20 years)
• Traditional US risks either non-existent (non-practical) in UK or Seal Sands Terminal
covered by insurance
Tyne
• Approximately 400 employees Cumbria Seal Sands
Riverside
• Transformed largely dormant chemical business to become the Immingham
leading provider of storage and infrastructure in the UK for Shannon
Rotterdam
biofuels Antwerp
Legend
• Exited the business late 2005 to Inter Pipeline Fund Refinery
Simon Storage Facility
26Arts Hotel Complex - sold (Fund I)
• Parent company (Sogo) went bankrupt forcing liquidation
• Assets trapped in complex corporate structure with management Apartments
Apartments
contract on hotel
• Considered to be one of the best Ritz Carlton’s in the world Hotel
Hotel Arts
Arts
• Via corporate investment, acquisition of mixed use portfolio of
approx. 1.2 million square feet) consisting of: Office
Office Building
Building
➢ 44-story, 482-room, 5-Star Hotel Arts
Land
Land Plot
Plot
➢ 12,375 sq.m Office Building
➢ 13,084 sq.m Retail Building
➢ 3,611 sq.m Land Parcel
• Deal won “International Hotel Deal of the Year” in 2001
• Harvard Business School case study notes its success despite
adversity
• Over 400 employees
• Majority sold in 2004, while retaining minority stake
• Final Exit in August 2006 to a Host Hotels & Resorts led investor Retail
Retail && casino
casino
consortium area
area
27igroup – sold (Fund I)
• One of the leading players in the subprime UK mortgage
market
• One of the largest MBOs in the UK for 1999
• Growth from £450m to £1.6 billion in assets; growth
from £30m to £105m+ a month in originations at sale
• Company grew from 300+ to 800+ employees
• Equity partners include Royal Bank of Scotland (£76m)
and management
• Sold to GE Capital in 2001 and continues to be leading
performer
• Exit won “British Venture Capital Association Deal of the
Year in 2001”
28Contact Details
Patron Capital Partners
One Vine Street
London W1J 0AH
Tel: +44-20-7629-9417
reception@patroncapital.com
www.patroncapital.com
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