Legal & General is investing a further £35m (€39.2m) of retirement capital into Leeds, to help fund the redevelopment of the Headingley Stadium.

The UK insurance and asset management group said the latest deal brings its total investment in the UK city to over £600m.

L&G said the property will be let to Leeds City Council on a 42-year lease, and under-let to the Cricket and Rugby Clubs jointly.

L&G is financing the £35m redevelopment on behalf of Legal & General Retirement, which invests in long-term assets that generate income streams.

Kerrigan Procter, chief executive at Legal & General Retirement, said: “Our financing of this project is a great investment fit for us as the long-term income it produces helps to pay our customers’ pensions.

“As well as enabling us to fulfil pension promises to our customers in an efficient way, this kind of investment allows us to play a part in driving job creation and economic growth which is good for business as well as our customers.”

In total, L&G has invested £12bn in UK direct investments and urban regeneration projects to date, with a commitment to invest £15bn.