Close Brothers sells off property arm

Close Brothers has sold its property fund management business to specialist real estate asset manager Alpha Real Capita (ARC).

The sale is part of the group's move to focus on developing its UK wealth and asset management business. It comes after the sale of the division's three private equity businesses in 2009. Following regulatory approval, about 35 staff along with assets and cash valued at £650,000 will transfer to ARC. The group says it is selling the property division for a nominal consideration. The deal will reduce Close's assets under management by £560m but the impact on profitability will be negligible, the group says.