Savills takes first chunk of European real estate advisor DRC Capital

The FTSE 250 company said that in addition, the partners of DRC had granted Savills Investment Management a call option to acquire the remaining 75% interest in DRC on the third anniversary of the completion of the initial transaction.

Founded in 2012, DRC is a specialist real estate debt investment advisor with current assets under management of £2.0bn, comprising a series of high yield, senior and whole loan funds.

Dale Lattanzio, chief executive offier and managing partner of DRC, would join the board of Savills Investment Management on completion.

The consideration would be funded from Savills existing cash and banking facilities.

Savills said the acquisition remained subject to regulatory approvals, and was expected to close in the third quarter of 2018.

“DRC is a high-quality investment advisory firm and this transaction represents an exciting opportunity to add real estate debt products to our portfolio of capabilities,” said Savills Investment Management chairman Nick Cooper.

“This will enhance our service to clients of the group seeking income focused investment opportunities in European real estate.”