Property-focused investment company JR Capital has partnered with industrial developer and asset manager Chancerygate to raise a £100m fund for investment in the UK multi-let industrial sector.

Left to right: Chancerygate’s Rory Finnan, JR Capital’s John Collier- Wright, Chancerygate’s Richard Bains and JR Capital’s Michael Ferris

The first close of the fund has raised £25m of equity from JR Capital’s Middle East-based private and institutional client base, giving Chancerygate an immediate £50m to deploy. Further closes are anticipated shortly. The fund has a five-year life and will target multi-let industrial investments across the UK in lot sizes of £5m to £15m.

JR Capital MD, John Collier-Wright, said: “We believe the multi-let industrial sector is still undervalued. It offers relatively high yielding and well diversified income which is attractive in the current environment.

The sector is one of very few which has real potential for growth over the short to medium term, underpinned by key macro fundamentals.”