Midlands developer Bond Wolfe has led a team of West Midlands investors in taking a 29.4 per cent stake in an AIM quoted property investment company.
They are injecting #2.3 million before costs into Real Estate Investors.
On completion of the placing, BW's Paul Bassi will join the board of REI as an executive director and West Bromwich-based chartered accountant Marcus Daly, who is a partner in CK Chartered Accountants and Bond Wolfe's group accountant, will become a non-executive director.
REI, based in Rickmansworth, Hertfordshire, has a national property investment portfolio currently estimated at #25 million.
It was established by Peter Lewin, the founder and former chief executive of Newport Holdings in February 2004.
The funds being raised at 10 per per share will be used for working capital purposes and to part finance future acquisitions.
Mr Bassi - through Bond Wolfe Assets, a company wholly owned by him - will hold 16.03 per cent of the enlarged share capital of REI, making him the largest single shareholder.
Paul Cliff, of the Birmingham office of law firm HBJ Gateley Wareing, advised Bond Wolfe.
Mr Bassi said: "My coinvestors and I consider that this is an outstanding opportunity to invest in a listed property investment company with highly regarded management which has a strong track record in the listed sector, allowing us to spread our p roperty investment nationally."
Mr Lewin will be executive chairman and John Jack, deputy chairman, with both taking the opportunity to raise their personal stakes in the company by making further investments.
The REI investment is the latest chapter in a busy year for Bond Wolfe.
Already this year Bond Wolfe has sold Construction House, the international HQ of construction giant Carillion, for #6.7 million only a year after acquiring the building for #5.25 million.
It has also acquired K2, the Worcester office development, which it bought from the receivers of one of developer Neil Grinnall's collapsed property companies.
And Bond Wolfe has sold its interest in the Days Inn Hotel within its West Plaza headquarters in West Bromwich to Premier Travel Inns, part of Whitbread, but has retained the freehold interest of the West Plaza scheme.