Introduction
We chat with Daniel Austin, the CEO and co-founder of Ask Partners, a boutique residential and commercial property lender.
What did your career look like before ASK Partners?
Before co-founding ASK Partners, I spent 13 years at Investec Bank, heading up the origination division of the structured property finance team. After the global financial crisis, I noticed a gap in the UK real estate debt market and saw an opportunity to create an alternative lending platform. In 2012, I established Capital A Finance in partnership with a wealthy family office, financing £250 million across 25 loans in two years. This venture laid the groundwork for founding ASK Partners in 2016.
Why did you decide to start ASK Partners?
The decision to start ASK Partners stemmed from my limitations at Capital A Finance. Despite our success, having a single source of capital was restrictive. I wanted to build a more flexible funding base and offer sophisticated high-net-worth investors the ability to invest in a diverse range of real estate loans through a digital platform. This approach promised better risk-adjusted returns and greater investment opportunities.
What surprised you the most about starting the business?
What surprised me the most was how quickly our private client base grew through referrals and word of mouth. The trust and satisfaction of our clients, reflected by a 95% referral rate, underscored the importance of excellent service and validated our business model. It was also unexpected how much external economic factors like Brexit, COVID-19, and high inflation rates created new opportunities for us in the real estate market.
What is your greatest achievement so far?
Our greatest achievement so far has been the successful execution of over £1.4 billion in property loans with zero loss, across more than 110 transactions. Additionally, our digital platform has empowered over 350 high-net-worth individuals and family offices to invest in these transactions, showcasing the trust and reliability we’ve built in the market.
What distinguishes ASK from its competitors?
ASK Partners stands out due to our unique funding pool of high-net-worth private clients who invest in our loans via a bespoke digital platform. Unlike traditional private banks and asset managers, we offer investors the chance to select transactions that align with their risk profile and preferences. Our approach provides flexibility and a diverse range of investment opportunities, setting us apart from competitors who typically follow a more rigid fund model.
What does the future look like for UK commercial real estate?
The UK commercial real estate market is continually evolving, influenced by changes in how people live, work, and spend their leisure time. Post-Covid, there is an increased focus on repurposing existing properties, such as converting commercial spaces into residential units. The demand for adaptable and flexible spaces will likely grow, providing numerous investment opportunities in the sector.
What is your 5-year plan for ASK?
Over the next five years, we plan to strengthen our partnership with OakNorth Bank, diversify our finance options, and expand our investment opportunities. We aim to provide more lower-risk and return opportunities to match current investor sentiment and continue investing heavily in our technology platform. We aim to lead the wealth-tech sector, maintaining flexibility to adapt to economic changes and client needs. We also plan to grow our client base and transaction volume while delivering exceptional service to borrowers and investors.
Thank you for your time today Daniel and good luck for the future.
