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profile West London: a long-term investment opportunity

Lloyd Lee

West London is a magnet for investors, particularly those who specialise in real estate. Take Yoo Capital Management as an example. The privately held real estate investment firm has invested an eye-watering £1.7bn-plus in west London over the last three years, which has helped to create wealth and jobs in this part of the capital.

In September 2020, Yoo Capital, a member of West London Local Chambers acquired a majority ownerships in Shepherd’s Bush Market, one of London’s most iconic markets.

Originally established in 1914, Shepherd’s Bush Market is one of London’s most historic and well-known markets. Each year it welcomes visitors from around the world, drawn by its character, charm and reputation for textiles and high-quality goods. The market is situated between the West London underground station and Goldhawk Road, and neighbours the White City regeneration area and Westfield London. The site involves a total of 4.2 acres, including adjoining land available for a mixed-use development with affordable housing.

According to Yoo Capital’s managing partner Lloyd Lee, Shepherd’s Bush Market offers an attractive longterm investment opportunity.

He says: “We like to find hidden gems and Shepherd’s Bush Market certainly falls into that category. It’s a well-loved London landmark although historically it has been a little neglected. We want to protect and celebrate its unique heritage while investing in it and the surrounding area.

“In the last 12 months we’ve worked with market traders to see what’s needed and what sort of investments would be appropriate. We’ve also made good connections with local community groups, businesses and council leaders, who have a good idea of what drives the local economy. The physical fabric of the market needs an overhaul and market traders are coming up with their own ideas on how to improve it.

“London is renowned for its markets and market traders and Shepherd’s Bush most certainly has a good long-term future.”

Shepherd’s Bush Market is not the first investment that Yoo Capital has made in west London.

In 2016-17, the company teamed up with Deutsche Finance International, the direct investment arm of Deutsche Finance Group, to become joint venture partners in conjunction with major financial co-investment by BVK and VKB, two of the largest German state institutional investors. This paved the way for the £296 million acquisition of Olympia London Exhibition Centre from a FTSE 250 UK-listed company.

In 2020 Deutsche Finance International and Yoo Capital announced an £875 million financing deal with Goldman Sachs as part of the revitalisation of Olympia.

Lloyd says: “Olympia London is the only major exhibition centre in central London and has a tremendous 135-year history as one of the world’s premier exhibition, entertainment and cultural centres.

“We’ve made a commitment to invest in Olympia to bring hotels, live entertainment, hospitality venues and 2.5 acres of public realm to the area. Essentially, we’re trying to create something that not only takes the exhibition forward for the next 135 years but also builds a legacy for the next 135 years.

“Olympia remains operational and we’re on track to deliver the entire masterplan by the end of 2024. We’re building five live entertainment venues, which is a serious commitment to the performing arts industry – a key sector for Hammersmith’s economy.

“We’re really proud and privileged to be owners of Olympia. It has a story that goes back multiple generations and together with our partners we can write the next chapter.”

According to Lloyd, West London’s diversity makes it a solid investment opportunity.

“It has several key strengths in telecoms, hospitality, entertainment, media and the creative arts,” he says. “This diversity is helping to rebalance the economy here.

“West London is an enormous part of the story of this city. It’s one of the most attractive longterm investment opportunities that we have seen in a long time.”

We like to find hidden gems and Shepherd’s Bush Market certainly falls into that category. It’s a well-loved London landmark although historically it has been a little neglected. We want to protect and celebrate its unique heritage while investing in it and the surrounding area.