Legal & General Investment Management’s real asset arm has provided £125m (€145m) project funding to the City of London Corporation.
LGIM Real Assets said the long-term financing to the governing body of the Square Mile London, which is home to much of the UK’s financial services sector, was issued via a green and sustainable financing framework.
The Square Mile is home to approximately 24,000 businesses, attracting over half a million workers daily and over 10m tourists annually.
The City Corporation will use the investment from Legal & General to fund a number of major capital projects, which include plans to consolidate three wholesale food markets and relocate the Museum of London.
Steve Bolton, investment manager at LGIM Real Assets, said: “This is an excellent opportunity for us to invest our annuity funds into the UK economy, and support the regeneration of key locations in the City and beyond.
“This transaction further demonstrates our support of organisations that play a key role in their communities.”
Jeremy Mayhew, chairman of the City Corporation’s finance committee, said: “We are pleased to have secured this funding with Legal & General.
”It is a prudent means of financing our major projects, allowing us to invest with confidence for the future, and to create a legacy for London.”
Beyond the Square Mile, the City Corporation is the UK’s fourth-biggest funder of heritage and cultural causes, investing over £100m every year. It also looks after 11,000 acres of green space, including Hampstead Heath and Epping Forest.
