Press releases
Legal & General secures student blocks at University of the Creative Arts, Farnham
LGIM Real Assets (Legal & General) announces, on behalf of its LPI (Limited Price Inflation) Income Property Fund, that it has agreed to fund the development of a new high-quality student accommodation block which is pre-let to the University for the Creative Arts (UCA).
8 Jan 2020
The proposed new 252 bed student residence, located in the heart of UCA’s Farnham campus, has been purchased on a forward funding basis for around £23 million.
The UK benefits from many of the best universities in the world and has one of the world's strongest higher education systems. Attracting international students and academic talent, the higher education sector remains vital to the long-term prosperity of the UK economy. In order to support this strong demand from students, modern purpose-built accommodation is an essential part of a first class education experience.
The property will be leased to the University on a new 35 year full repairing and insuring lease on completion of the development, which is scheduled for summer 2021. The development is being carried out by UCA.
Avison Young acted for Legal & General on this deal and JLL acted for UCA.
Launched in 2010, the LPI Income Property Fund offers defined Benefit pension schemes an innovative way to invest in direct property with secure, primarily government backed, inflation-linked sources of income, generating income yields well in excess of those from comparable asset classes such as index-linked gilts or social housing debt. The Fund has £1.3 billion of assets under management.
Derek Gilby, Senior Fund Manager of the LPI Income Property Fund: "The quality and affordability of accommodation can represent a large factor for students when deciding where they want to go to University. We believe that quality facilities that are affordable for students can help to provide a quality education. This is an excellent buy for the Fund, offering a secure long term income stream which provides a hedge to inflation from a good University."
Further information
Lauren Kemp
Interim Group Head of Corporate Media & Issues
Group Communications
T: 07946 514 627
Notes to editors
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
Legal & General Investment Management
LGIM is one of Europe’s largest asset managers and a major global investor, with total assets under management of £1.16 trillion1 ($1.47tn, €1.35tn, CHF 1.31tn). We work with a wide range of global clients, including pension schemes, sovereign wealth funds, fund distributors and retail investors.
For more than 50 years, we have built our business through understanding what matters most to our clients and transforming this insight into valuable, accessible investment products and solutions. We provide investment expertise across the full spectrum of asset classes including fixed income, equities, commercial property, and cash. Our capabilities range from index-tracking and active strategies to liquidity management and liability-based risk management solutions.
1 Data as at 30 June 2023. Data combines assets under management by LGIM in the UK, LGIMA in the US and LGIM Asia in Hong Kong.
Assets under management include securities and derivatives positions
*as at HY 2023