Legal & General’s Limited Price Inflation Fund (LPI) has invested over £130m (€144m) in three UK real estate deals, lifting the fund’s investment portfolio to £1.8bn.
The LPI fund has agreed a forward deal to buy purchase The Interchange, a 120,000sqft, eight-storey office building in Cardiff Central Square. The new office building will be let on completion to Legal & General Group employees, relocating from their existing offices in Cardiff.
Legal & General said the LPI fund is also funding of a 90,000sqft office building in Peterborough. The office building will be let on a 25-year lease from completion to the Secretary of State for Communities and Local Government.
The fund has also committed to fund a part two/three-storey, 30,000sqft veterinary college at Keele University, plus an additional 26,000sqft of space to be sub-let by the University.
Derek Gilby, senior fund manager at LGIM Real Assets, said: “Amidst the Covid-19 crisis; secure, long-term income streams, underwritten by strong covenants, have remained robust.
“Against this backdrop, and aligned with LPI’s investment strategy, we have committed to a string of deals, enhancing our portfolio and positioning the fund for a strong start to the year. We expect to see further growth to our £1.8bn investment portfolio in the coming months.
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