Real Estate Credit Investments Limited (LON:RECI), a non-cellular company incorporated in Guernsey, has announced that its Investment Manager’s monthly Fact Sheet as at 31 May 2022 is now available below and on the Company’s website at:
The highlights of the monthly update are provided below:
| · | NAV as at 31 May 2022 was £1.522 per share, representing an increase of 1.6p per share from the 30 April 2022 NAV of £1.506 per share. |
| · | The change in NAV per share was due to:- |
| Ø 0.8p of interest income; | |
| Ø 1.0p proceeds from the sale of Vanderbilt; and | |
| Ø 0.2p of negative mark-to-market (‘MTM’) adjustments across the bond portfolio, due to yield-widening across the corporate bond market, largely driven by the war in Ukraine and related considerations. | |
| · | During the month, RECI committed £22.8m across two loans:- |
| Ø £16.5m to a senior core+ loan for a hotel in the UK. This deal has an expected IRR of 7.0%, with an entry LTV of 67% and an expected exit date of April 2027. | |
| Ø £6.3m to a senior development loan to support the development of a residential facility in the UK. This deal has an expected IRR of 8.4%, with an entry LTV of 55% and an expected exit date of June 2026. | |
| · | During the month of May 2022, three loans repaid:- |
| Ø A profitable exit of a UK housebuilder mezzanine loan which repaid £16.4m to RECI. With this sale, RECI has recovered in excess of the investment made into the position. | |
| Ø A stretch senior core loan in the UK repaid £17.0m to RECI. This deal repaid with an exit IRR of 8.5% and a multiple of 1.3x. | |
| Ø A mezzanine value add/transitional loan in Paris repaid £11.6m to RECI over the past 3 months. This deal repaid with an exit IRR of 13.7% and a multiple of 1.4x. | |
| · | The Company expects to deploy its currently available cash resources in near term commitments and continues to see a growing pipeline of new attractive opportunities. |
Real Estate Credit Investments Limited (RECI) is a closed-ended investment company which originates and invests in real estate debt secured by commercial or residential properties in Western Europe, focusing primarily on the United Kingdom, France and Germany.
RECI is externally managed by Cheyne Capital’s real estate business which was formed in 2008 and currently manages over $3bn via private funds and managed accounts. Its investments span the entire spectrum of real estate risk from senior loans, mezzanine loans, special situations to direct asset development and management.
