Legal & General, on behalf of its Managed Fund, announce that it has expanded its investment portfolio to £3.8bn, following a string of deals totalling £150m as it continues to commit to best-in-class assets.
7 Feb 2022
Legal & General’s (LGIM Real Assets) Managed Fund has made five acquisitions across the office, retail, leisure and industrial sectors totalling £150m and c. 600,000sq ft, bringing the total value of the fund to over £3.8bn. The acquisitions come off the back of increased flows into the fund.
The purchase of 20,821 sq ft of offices at 45 Folgate Street in Spitalfields for £26.8m marks LGIM Real Assets’ return to buying best-in-class buildings in central London with excellent ESG credentials. Following an extensive refurbishment in 2017, the building benefits from an EPC rating of B, renewable energy resources and over 1,200 sq ft of outside amenities. The property is situated in a prime location where the City meets Shoreditch and Spitalfields.
The Fund has also completed the purchase of a major mixed-use institutional asset in Brighton City Centre, continuing the trend of investment in sectors anticipated to bounce-back following the COVID-19 pandemic. Situated on Jubilee Street, one of the principal leisure pitches in Brighton and most popular leisure destinations outside of London, the 49,154 sq ft mixed-use asset has retail units with well-configured, modern frontages and high-quality office spaces. These purchases demonstrate LGIM Real Assets’ continued outlook that best-in-class assets, across various sectors, remain attractive growth propositions.
Within this recent flurry of investment, the Managed Fund has also completed the significant acquisition of the Porto Portfolio, comprising six freehold multi-let industrial estates across the East, South East and South West of England. The Porto Portfolio represents a total of 403,087 sq ft of industrial space, housing a mix of 23 local and national long-term occupiers across 32 units. This deal closely followed the purchase of 2 Eastways – an industrial unit in Witham, where the fund owns the adjoining industrial estate, for £9.25m – plus two units at Meadowhall Retail Park in Sheffield for £3.6m, giving the fund total control of the park.
LGIM Real Assets’ belief in the long-term robustness of these key sectors is enabling the fund to continue to diversify investment and access a range of risk and value drivers.
Rob Codling, Senior Fund Manager at LGIM: “Acquisitions of prime assets across offices, logistics and leisure sectors falls in line with the Managed Fund’s strategy of increasing weightings in these markets. 45 Folgate Street, Jubilee Street, and the Porto Portfolio are exemplary demonstrations of the high-quality investments LGIM Real Assets are pursuing, while the purchases in Witham and Sheffield bring marriage value to the fund through increasing adjoining ownership.”
Established in 1836, Legal & General is one of the UK's leading financial services groups and a major global investor, with over £1.2 trillion in total assets under management* of which 39% is international. We have a unique and highly synergistic business model, which continues to drive strong returns. Legal & General provides powerful asset origination and management capabilities directly to clients, which also underpin our leading retirement and protection solutions. We are a leading international player in Pension Risk Transfer, in UK and US life insurance, and in UK workplace pensions and retirement income. Our purpose is to improve the lives of our customers and create value for our shareholders. Through inclusive capitalism, we are investing in long-term assets, such as real estate and infrastructure, that can help build a better society for the future.
*as at HY 2023
LGIMRA is a division of Legal & General Investment Management (LGIM), one of Europe’s largest
institutional asset managers and a major global investor. LGIM manages £1.29 trillion1 ($1.57tn) in
assets, working with a range of global clients, including pension schemes, sovereign wealth funds, fund distributors and retail investors.
LGIM Real Assets has assets under management of £36 billion2 ($43.8bn) and is one of the largest
private markets investment managers in the UK. Investing in both debt and equity and across the
risk/return spectrum, LGIM Real Assets actively invests in and manages assets across commercial,
operational and residential property sectors, as well as infrastructure, real estate, corporate and
Taking a long-term view in order to future proof our investments, LGIM Real Assets continues to lead the industry in ESG performance, considering all environmental, social and governance issues at asset level as well as portfolio level.
1LGIM internal data as at 30 June 2022. These figures include assets managed by LGIMA, an SEC Registered Investment Advisor. Data includes derivative positions.
2Source: LGIM Real Assets. AUM data as at 30 June 2022.
*at 13 Jan 2023
For professional clients only. Past performance is not a guide to the future. The value of an investment and any income taken from it is not guaranteed and can go down as well as up, you may not get back the amount you originally invested. Views expressed are of LGIM as at 12 January 2023. The Information in this document (a) is for information purposes only and we are not soliciting any action based on it, and (b) is not a recommendation to buy or sell securities or pursue a particular investment strategy; and (c) is not investment, legal, regulatory or tax advice. Legal & General Investment Management Limited. Registered in England and Wales No. 02091894. Registered Office: One Coleman Street, London, EC2R 5AA. Authorised and regulated by the Financial Conduct Authority, No. 119272.