Legal & General’s LGIM Real Assets has exchanged contracts on a new build-to-rent tower — North Tower in Deansgate Square, Manchester.
The acquisition, which is in line with LGIM Real Assets’ strategy to strengthen its exposure to alternative and operational sectors, has been made on behalf of its two largest balanced funds, the U.K. Property Fund and the Managed Fund, in a 50-50 ownership structure.
The deal represents the Managed Fund’s first build-to-rent acquisition as part of a sustained push into alternative sectors. Previous investments include the purchase of hotels, healthcare facilities and student accommodation. The Managed Fund, launched in 1971, has grown by £2 billion ($2.6 billion) in the past six years to a current value of £3.4 billion ($4.5 billion).
For the U.K. Property Fund, this acquisition represents a further strengthening of its exposure to operational assets, including the recent acquisition of a 189-flat build-to-rent sit
