Aviva Investors fund acquires office development in Salford for £113m
Aviva Investors is funding an office development in the north-west of England for £113m (€128.8m).
Aviva Investors said its Lime Property Fund has agreed to forward fund the development of Two New Bailey Square, a 187,241sqft office building in Salford, Greater Manchester.
The development, which is expected to complete by the end of 2019, is pre-let to Salford City Council on a 25-year lease.
Lime Property Fund is a secure income long lease property fund managed by Aviva Investors with over £2bn of net asset value.
The fund, launched in 2004, targets property investments let to strong tenants on leases with inflation-linked or fixed-rental uplifts and lease terms of over 15 years.
Kris McPhail, the fund manager at Aviva Investors, said: “This transaction provides our investors with sustainable, inflation-linked income, underpinned by a strong public sector tenant in a market with robust fundamentals.
“It is also underpinned by our strong belief within Aviva Investors about the health and future growth of the Greater Manchester area.”