Two directors leaving Rugby Estates have set up a company together, Brookshire Investments Ltd.
Neal Taylor and Alex Wildman said that their new venture would focus on buying and selling investment property.
Brookshire will initially focus on industrial property – and potentially retail in six months time.
Taylor and Wildman said they had a combination of their own equity and equity from ‘a number of other sources’.
The pair worked together as directors of Rugby Capital, Rugby’s direct trading arm, for 16 years where they delivered 20% annual un-geared returns and ranked second in the Investment Property Database index over five years.
It was announced yesterday that they would be leaving Rugby on 31 December following the company’s focus on its asset management business.
Taylor told Property Week: ‘We want to continue doing exactly what we have done for the last 16 years. It is all about opportunistic buying and selling. We are in the fortunate position of having equity of our own and having access to equity from a number of sources. While we acknowledge that 2009 will be a difficult year, we believe that 40-50% falls in values will create exceptional opportunities. Even if you can’t get debt, the income return on your equity will still be good.’
Wildman said of the move: ‘We expect the market to remain challenging for some time with continuing downward pressure on property values. However we do believe that the scale of the correction in pricing will provide very attractive returns, particularly for investors who transact opportunistically.’