Butterfly Asset Management

Investment Proposition:

Investors are invited to contribute £250,000, gaining ownership of 8-10 units within a professionally managed portfolio. The investment strategy focuses on strategically acquiring discounted residential properties in high-demand locations, ensuring a diversified and resilient portfolio.

Business Model:

1.      Acquire: BAM secures discounted residential properties strategically located for high demand, ensuring a foundation for long-term value appreciation.

2.      Manage: Professional property management and tenant relations are integral to BAM's model, ensuring optimal occupancy rates and tenant satisfaction.

3.      Exit Strategies: BAM offers diverse exit paths, including tenant purchase options, portfolio sales, IPOs, or secondary offerings, providing flexibility and maximizing investor returns.

Services:

BAM provides comprehensive services, including:

l  Portfolio Acquisition and Management: Rigorous selection of properties for optimal returns.

l  Tenant Selection and Relations: Ensuring stable occupancy rates and fostering positive tenant experiences.

l  Property Maintenance and Repairs: Preserving and enhancing property values through proactive management.

l  Financial Reporting and Tax Optimization: Transparent reporting and strategic tax planning to maximize investor returns.

The goal is to deliver a £1 million ROI over 5-10 years, supported by BAM's meticulous property selection, professional management, and flexible exit strategies. The acquisition of 8-10 units within a diversified portfolio enhances the potential for sustainable and substantial returns.

BAM's investment opportunity aligns with the interests of Pension Funds, Pension Brokers, and Individual Investors seeking both financial success and a positive societal impact. By combining strategic property acquisition, professional management, and a commitment to social responsibility, BAM aims to create a winning proposition for investors looking to participate in the dynamic residential real estate market.

At Butterfly Asset Management Ltd (BAM), we don’t just offer investment, we offer intelligent wealth-building through property.

The goal is to deliver a £1 million ROI over 5–10 years, supported by BAM's meticulous property selection, hands-on professional management, and flexible, investor-friendly exit strategies. Our model centres around the acquisition of 8–10 high-performing residential units within a carefully diversified portfolio  designed not only to preserve capital but to multiply it sustainably, even in shifting market cycles.

This structure offers the resilience of traditional bricks and mortar investment, but with the innovation and scalability of a modern asset-backed portfolio.

Whether you're a Pension Fund, Pension Broker, Wealth Advisor, or an individual investor seeking tangible returns and measurable societal impact, BAM provides a tailored route to both. Our strategy is rooted in realism, powered by rigorous due diligence, and driven by a values based philosophy that understands profit and purpose can, and should, co-exist.

We target real world gains while delivering uplift to local communities through tenant homeownership pathways, sustainable housing models, and long term affordability.

By combining strategic property acquisition, robust risk management, and a genuine commitment to social responsibility, BAM positions itself as the partner of choice for investors looking to participate in the next evolution of UK residential real estate.

UK Residential Real Estate Market Research
The residential real estate market covers the leases and transactions of residential properties. Residential real estate leases refer to the market where landlords and tenants enter into agreements for the rental of residential properties, such as apartments, houses, and condominiums, while residential real estate can be defined as buying, selling, or transfer of ownership of residential properties.

l  The value of the UK Residential Real Estate market is projected to reach UK£17.85tn in 2024.

l   The value is expected to show an annual growth rate (CAGR 2024-2028) of 2.83%, resulting in a market volume of UK£19.96tn by 2028.

UK Residential Real Estate Market Trends

1.      Rise in Population is driving the market: In the period from 2010/11 to 2019/20, the number of new homes in England increased by 1.819,200, meaning a growth rate of 8.0%. Over the same period, the population of England increased by 4.090,600, meaning that for every new house built, the population increased by 2.25 people.
GDP per capita in the United Kingdom in 2022 was GBP 32,904 (about USD 40,936.27), which is an increase of GBP 1,090 (about USD 13,788.48) compared to 2021. People are looking for bigger homes in the UK, especially in suburban areas.

The proportion of new homes per head of population varies across the country. In the northeast, where there has been slower population growth, there were 1.3 new homes built for every new person. In the capital, where housing supply lags behind demand, the ratio was 3.4 homes per new home. Due to COVID-19 and the Ukraine War, more and more people are working from home, so the demand for residential as well as rental property is growing in the country.

Other important trends expected to shape the market include:

l  Increase in the United Kingdom House Prices

l  Increase in Residential Properties across the United Kingdom due to favorable Mortgage Rates 

l  Market growth: Continued strong demand for UK residential property is expected, driven by population growth, urbanization, and low interest rates. This will provide a favorable environment for investment returns.

l  ESG focus: Demand for sustainable and socially responsible investments will continue to grow.

Source

l  https://www.statista.com/outlook/fmo/real-estate/residential-real-estate/united-kingdom#value

l  https://www.mordorintelligence.com/industry-reports/residential-real-estate-market-in-united-kingdom

l  https://www.mordorintelligence.com/industry-reports/uk-real-estate-services-market---growth-trends-and-forecast-2020---2025

Risk.

Economic downturns, changes in property market trends, and unforeseen shifts in demand for residential properties.

Mitigation 

We will diversify the property portfolio across different locations and types, keeping a close eye on market trends. We will also regularly conduct market analysis and stay adaptable to market changes while maintaining a contingency fund to absorb potential economic shocks

Risk 

Inefficiencies in property management, tenant relations, or maintenance leading to increased costs or decreased profitability.

Mitigation 

Implementing robust operational processes and investing in Property Technology (PropTech) to streamline operations. We will regularly train and educate our staff to ensure a high level of competence. 

Risk 

Fluctuations in interest rates, unexpected capital expenditure, or insufficient cash flow.

Mitigation 

Maintaining a robust financial forecasting model, regularly reviewing and adjusting financial projections based on market conditions. We will establish contingency reserves to cover unexpected expenses and consider fixed-rate financing to minimise interest rate risks.

Risk 

Negative community perception or backlash due to the impact of property acquisitions and management.

Mitigation 

We will engage with local communities transparently and proactively while implementing and communicating socially responsible initiatives, and contributing positively to the communities. We will address any concerns promptly and collaborate with local stakeholders

At Butterfly Asset Management Ltd (BAM), we are inviting strategic capital partners to participate in our 25-year, multi phase real estate expansiontargeting residential and mixed-use developments across high growth regions of the UK and internationally.

Our objective is clear: to deliver stable yield, long term capital appreciation, and strong ESG-aligned outcomes while scaling to a £1B+ portfolio.

We are currently onboarding pension funds, sovereign wealth institutions, and corporate treasuries with capital tranches from £25M to £500M+.

Operational Infrastructure
Funding will support the day to day operational backbone of BAM’s model, including tenant relations, compliance, maintenance, legal structuring, lettings, and ongoing asset management. This ensures each property not only performs  but delivers predictable cash flow with minimal disruption.

PropTech Integration
We are committed to driving data led decision making and operational precision through the integration of advanced Property Technology (PropTech). Capital will be allocated to AI driven analytics, smart leasing platforms, and performance monitoring tools all aimed at improving asset visibility and responsiveness.

ESG-Led Development
Our developments align with ESG principles including energy efficiency, urban greening, and community enhancement. Strategic funds will support the rollout of green roofs, triple glazing, solar technologies, and sustainable urban design in line with upcoming regulatory and investor frameworks.

Brand & Market Positioning
To solidify BAM as a leading name in ethical, high yield real estate, we will deploy capital into precision-targeted investor marketing, global outreach, and corporate branding. Our outreach strategy is designed to attract institutional and UHNW partners with aligned long term interests.

Investor Relations & Stewardship
We understand that large scale capital requires proactive, transparent, and responsive investor relations. Funds will support a robust IR platform including regular reporting, portfolio reviews, bespoke engagement, and quarterly investor roundtables ensuring alignment at every stage.

1. Tenant Purchase Option (TPO)

Overview:
We provide tenants with the exclusive right to purchase the property they rent either during their tenancy or upon lease expiration. This structured pathway to ownership supports both financial empowerment and ethical investing.

Strategic Benefits:

Attracts Stable, Engaged Tenants: Encourages long term occupancy by offering tenants a stake in their future.

Built in Exit Route: Creates a natural exit mechanism for individual units without mass marketing or agency fees.

Revenue Uplift: Units are typically sold at an indexed, above market rate delivering solid capital returns.

Community Building: Promotes social stability, tenant pride, and community longevity key ESG indicators.

Win Win Structure: Tenants secure a route to ownership; investors realise returns with minimal friction.

Bonus:
Purchase options can be indexed to inflation or market growth, ensuring ROI protection.

2. Institutional Portfolio Sale

Overview:
When market dynamics are favourable, BAM may initiate a bulk sale of part or all of its property portfolio to institutional buyers (e.g., pension funds, REITs, or family offices).

Strategic Benefits:

Rapid Liquidity: Enables large scale exit with minimal transactional friction and reduced legal overhead.

Value Maximisation: Portfolios often command a premium when sold as income generating assets.

Operational Streamlining: Reduces overhead and simplifies management as BAM transitions capital to new opportunities.

Exit Optionality for Investors: Offers a clean, scheduled exit in line with investor timelines and IRR targets.

Attractive M&A Profile: Positions BAM as a target for acquisition or strategic joint ventures at scale.