Alantra completes third development capital raise for McGoff Group in six months

SECTORReal Estate

ServiceDevelopment Financing

Jan 2024
Development Financing

London – Alantra, the independent global mid-market financial services firm, has advised McGoff Group (“McGoff”) on its third capital raise in six months, a multi-use elderly care and retirement living site in Herne Bay, Kent, including a 67-bed care home, 49 retirement living bungalows and 72 retirement living apartments. This takes the total debt and equity raised to facilitate McGoff’s development projects across 2023 to over £100m. McGoff is an established, family-owned multi-disciplined developer and contractor based in Manchester.

The Alantra team has become an integral part of the McGoff corporate finance function and is using its deep sector knowledge and execution excellence to deliver successful transactions across a range of sub-sectors. Areas of expertise include Build-to-Rent (Rochdale Road BTR Joint Venture), elderly care and nurseries (Bowdon elderly care and nurseries development debt) and retirement living with the recently completed Herne Bay scheme.

Chris McGoff, Director of McGoff Group, said, “Alantra has been instrumental in transforming our business and have added substantial value over and above the successful transactions completed in 2023. The team has truly become a valued partner in assisting with our growth plans and we look forward to working with them as retained advisors across all of our target sectors in 2024.”

Bobby Fletcher, Managing Director and Head of UK Real Estate at Alantra, echoed this sentiment and said, “We are delighted to have had a successful 2023 working with the McGoff team as retained advisors. Our deep knowledge of their business, the sectors in which they work and crucially, our depth of relationships in the capital markets, have been key to successfully completing three transactions in a six-month period. We are confident that this burgeoning relationship will result in further shareholder value maximisation this year and beyond.”

The Alantra team, led by Bobby Fletcher, also includes Danilo Bardella, Catherine McEwan and Wanqing Sun, key members of the Alantra real estate capital markets and M&A teams. Alantra’s multi-faceted advisory offering spans the residential, healthcare, hospitality and wider commercial real estate sectors. Claudio Origoni and Benjamin Mesrie, who have recently joined from Bank of America and Savills respectively, enhance the offering. The team is looking forward to an active year and is currently advising clients in the hospitality, retirement living, PBSA and healthcare sectors.

Herne Bay represents McGoff’s largest retirement living development so far and is geographically a major step in the nationwide expansion of its elderly care brand, NewCare, and retirement living brand, VillaFont Concierge, growing beyond the core focus to date in the North West. The deal takes the form of a joint venture equity partnership between McGoff and Housing Growth Partnership for the bungalows, alongside development debt for the bungalows, apartments and care home sourced from Octopus Real Estate. McGoff’s legal advisors were Beyond Corporate.

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