An investment advisory firm co-founded by tyre entrepreneur Mike Welch has launched a property fund in a bid to fill a gap in the market.
Edinburgh’s Full Circle Partners (FCP) was founded in September and has now launched FCP Property Development Fund, which is focused on providing short-term liquidity and investment support to established commercial and residential property developers.
Loans range from £250,000 to £2.5 million and FCP said the fund had already invested about £6m and was set to reach “in the region of” £20m over the next 12 to 18 months.
Matthew Edgar, a long-time adviser to Blackcircles.com founder Welch, has been appointed to run the fund. Welch said the property fund “formalises the activity Matthew and I have been engaged on for the last year or so”.
He added that it had become evident that, “by applying tried-and-tested private equity principles to allow property businesses to improve their liquidity through the property development process, there is a big gap in the market for this kind of offering”.
Edgar said: “Mike’s entrepreneurial approach brings a fresh perspective to property funding, which gives the FCP fund flexibility to tailor investment and support to match the property security available.”
FCP was co-founded by Welch, Paul Jarman-Williams, formerly of corporate law firm Dickson Minto, and public relations specialist Nick Freer. Its portfolio companies include fashion tech start-up Atterley.com.