Legal & General Capital (LGC) and Schroder UK Property fund have been given the green light to regenerate a UK town centre.

The joint venture’s £200m (€273m) Bracknell Regeneration Partnership will begin within the next three months, with completion of the 580,000sqft due in 2017.

The predominantly retail-focused scheme is 53% pre-let to retailers including Marks & Spencer, Primark and H&M.

As reported last monthLegal & General is working to pool £15bn of institutional capital to invest in UK housing and infrastructure.

The UK insurer committed £1.5bn of its own money to the ‘regeneration funding’ vehicle, which will work with the government’s Regeneration Investment Organisation, set up to help generate international investment in UK infrastructure.

The vehicle could fund 50 regeneration projects across the UK, including housing and infrastructure, it is estimated.

Paul Stanworth, managing director of Legal & General Capital, said ”pension funds and sovereign wealth funds want to invest in infrastructure, direct investments and property”.

LGC also said plans to build 1,000 new homes near Bracknell, in Crowthorne, have also been approved. Legal & General Property will manage the development for LGC.