McGrath strikes deal with Newground Capital
McGrath Limited CEO Eddie Law.

McGrath strikes deal with Newground Capital

Listed real estate agency and advisory McGrath has struck a deal with Newground Capital Partners, an alternative asset manager with its parent based in Britain.

The alliance will help to boost McGrath’s projects division and residential business by providing equity to developers that use the business’ real estate services. Newground was recently acquired by London-listed alternative asset manager Intermediate Capital Group, which manages $74.5 billion in private debt, credit and equity.

McGrath chief executive Eddie Law used his former finance background in structured commercial real estate debt funding and global institutional property asset funding. Before joining McGrath, he was an executive director of Newground Capital Partners.

“The intent is to leverage off our our proven core capabilities of agency project marketing, property management and buyer mortgage provision by acting as a conduit to the delivery of development capital, to assist the developer both acquire and develop the site,” he said.

“Developers are excited that McGrath will essentially be a one-stop shop to deliver capital, agency and management services on a market-competitive basis.”

McGrath is an ASX-listed $100 million stock with more than 107 offices on the eastern seaboard. It was founded by John McGrath in 1988 and he is the largest shareholder.

Daniel Erez, head of real estate Australia & New Zealand for ICG-Newground, said that in a strong residential market, developers needed to act quickly and decisively, knowing their financier could move with them.

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