LGIM Real Assets (Legal & General) announces that it has made its first acquisition into the self storage sector, with the landmark acquisition of the Iron self storage portfolio.
31 Jul 2019
The portfolio includes three brand new facilities located in Cannock, Northwich and Bolton, providing 140,000 sq. ft. of lettable space. The facilities will be managed by SureStore. Management Services. The stores combine traditional self-storage space, with glass fronted trade counter units for retail customers as well as co-working office space and external drive-up units.
The acquisition has been made on behalf of its UK Property Fund (“The Fund”). Since its launch in 2006, the Fund has grown from £100m to over £3bn today as it continues to see steady capital investment from retail investors. The Fund continues to diversify its holdings into more operational and alternative assets such as its recent investments into Build-To-Rent (BTR), hotels, healthcare, student accommodation and now self storage.
Tom Caines, Alternative Investment at JLL, commented: “It’s fantastic to see the continued trend of institutional funds investing in the self storage sector. Investor demand has grown strongly in the past 18 months, especially for new build stock of this grade. The key to this transaction was ensuring the deal was structured to include a ready-made management team, and we were delighted to achieve a result that suited all parties.”
Andy Wood, of SureStore Management Services commented: “We look forward to managing these assets on behalf of Legal & General moving forwards, and are excited to be working alongside them as they grow their new platform.”
Matt Jarvis, Senior Fund Manager of the UK Property Fund: “The Fund has had a strong focus on investing in operational real estate such as hotels, BTR and self storage. In line with our strategy, this latest acquisition provides a platform of assets within the self-storage sector where the Fund will benefit from the expertise that the management agreement with SureStore will provide. The high-quality, purpose-built properties are also in early stages of operation which should mean we see a growth in income as they reach a stabilised level.”
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.
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