Specialist development finance provider Maslow Capital and asset manager M&G Investments are teaming up to lend to UK real estate developers.

The strategy will be to focus on purpose-built student accommodation, build-to-rent private housing, co-living, retirement living and aparthotel developments.

William Nicoll, CIO for private and alternative assets at M&G, said: “Access to institutional capital is essential for small and medium-sized businesses to develop much-needed housing in the UK.

“Maslow Capital has a strong track record of working with developers and this agreement should allow our pension fund and institutional clients to benefit from their expertise by way of attractive returns.”

Maslow Capital has for several years been providing development finance to real estate developers in partnership with Sixth Street.

Marc Rose, chairman and co-founder of Maslow Capital, said: “This transaction is a significant milestone on the Maslow journey and adds further depth to our funding capabilities.

“The addition of M&G as a partner will complement our existing relationship with Sixth Street which is about to enter its sixth year.”

Ellis Sher, CEO and co-founder of Maslow Capital, added: “We are committed to supporting UK real estate developers through the cycles, and managing long-dated capital for M&G and Sixth Street allows us to be the kind of patient, flexible and supportive lender that borrowers need.”