In this episode of the Property Funder Podcast, Michael Dean speaks with Keith Breslauer, founder and managing partner of Patron Capital. Keith shares exciting insights into the firm's investment strategies and their secrets to success and longevity. He discusses their latest fund and the importance of local partnerships in navigating market challenges and ESG requirements. Keith also reflects on lessons learned from past financial crises and the significance of conservative leverage. He also highlights his involvement in charitable initiatives, including providing housing for women suffering from domestic abuse and supporting the Royal Marines Charity.

Fundraising and Investment Strategies

Keith discusses Patron Capital's long history in the industry, having been in business for 25 years. They have raised funds approximately every 2-3 years. Recently, they closed their seventh fund, securing €860 million, which includes a co-investment pool. Patron Capital focuses on programmatic investments and has a strong following of returning investors.

Deployment and Partner Strategy

Patron Capital typically makes equity investments ranging from €30-90 million. Keith emphasises the importance of working closely with local partners to gain in-depth knowledge of specific markets. These local partners are crucial in navigating the unique characteristics and challenges of each market, ensuring successful project execution and investment returns.

Market Conditions and Opportunities

Keith discusses the current market conditions and the opportunities they present. The interest rate shocks, ESG (Environmental, Social, and Governance) requirements, and local market dynamics are key drivers of these opportunities. He stresses the importance of trusted partnerships to manage and capitalise on these evolving market conditions effectively.

Reputation and Ethical Business Practices

Keith attributes Patron Capital's strong reputation to their integrity, transparency, and long-term relationship-building. He discusses the importance of not misrepresenting their capabilities and maintaining trust with partners and investors. This ethical approach has been fundamental to their success and longevity in the industry.

Personal Endeavors and Mentorship

Keith shares his involvement with the Royal Marines Charity and his upcoming cross-channel kayaking event. He discusses the value of mentorship and learning from influential figures throughout his career. These personal endeavors and charitable activities reflect his commitment to giving back and making a positive impact.