13 JUNE 2025


Valesco gets initial €500m backing for special situations Europe strategy

by Robin Marriott, Editor, Green Street News - https://greenstreetnews.com/article/valesco-gets-initial-e500m-backing-for-special-situations-europe-strategy/

Firm behind some of Europe's largest single-asset office investments in recent years launches fresh strategy backed by US investment bank

  • What Valesco has attracted backing from a US investment bank for a new European special situations real estate strategy

  • Why Company sees an opportunity to invest across the capital stack

  • What next The first €500m tranche of capital is ready to be deployed

Valesco, the UK and European fund manager, has launched a special situations real estate strategy backed by an initial tranche of €500m from a blue-chip US investment bank, Green Street News can reveal.

Valesco said the new “highly flexible” mandate would enable the London-headquartered pan European firm to invest across the capital stack, focusing on providing capital solutions to European commercial real estate lenders, asset owners and developers.

The opportunity to deploy capital across stretched senior, mezzanine, pref equity and ordinary equity has opened up given the strain caused by the rise in interest rates across Europe from 2022, exacerbated by the futureproofing and sustainability requirements commercial real estate trends are dictating.

The move also comes at a time when US capital is predicted to gravitate towards European real estate, due to the threat of Donald Trump’s tariffs.

While sector and country-agnostic, Valesco intends to focus on well-located transitional office assets in London, the top seven German cities and Paris.

Valesco is looking to deploy the first tranche of €500m. Subsequent tranches are expected to follow, and while the typical ticket size will be €50m-€100m, there is an option to go significantly higher due to the strength of the US capital partner’s balance sheet, it said.

Valesco is the firm behind some of Europe’s largest single-asset transactions in recent years, such as the €1.2bn Finance Tower in Brussels, a €200m majority stake in Moncler’s HQ in Milan, and the €460m sale-and-leaseback deal for Sequana Tower, Accor’s global HQ in Paris – all three acquisitions being the largest office deals in their respective jurisdictions in recent years as the company backed a conviction to invest in a “mission critical office bifurcation” thesis across prime European gateway cities.

Founder and CEO, Shiraz Jiwa, said: “The special situations strategy leverages the Valesco team’s market-leading, forensic approach to asset selection, combining capital structure dexterity and restructuring expertise with strategic asset management and placemaking to unlock complexity and value, which has resulted in a returns profile 2.5 times the peer group since our inception.”

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