Property Market to See Big Purchase
A value of £125 million has been placed on the real estate assets of an ailing investment company, as a pair of Scottish millionaires are amongst the potential buyers for Dawnay Day.
The Melvilles - who netted a more than respectable fortune through the sale of their previous company - are just one of the potential bidding teams interested in the properties that will be available when Dawnay Day’s portfolio - valued in the 100s of millions range, is sold off later this month.
If it goes ahead, the purchase is likely to be managed by Denmore Investments, the company owned by the brothers, who are together worth around £75m.
Criterion Capital, owned by Asif Aziz, which already owns the Trocadero complex in the center of London, and Topland Group, the company launched by billionaire Sol Zakay, have also suggested that they’ll be bidding for some, or all, of the portfolio.
A derivatives position in their fund manager (F&C Assets) went through forced closure in July; Dawnay, Day immediately suffered, and have quickly found themselves in administration.
One of the company’s lenders made a margin call, leading to the sale, and a loss of £70m.
The company, and particularly it’s senior management team, have been known to avoid being in the public eye, instead letting the high-profile companies in which they invest receive the publicity.
After they first met in the eighties, the two men have successfully launched various funds - some were later made public, and are now traded though the stock exchange in London.