Bruntwood and Legal & General Capital have established a 50:50 partnership to create the UK’s largest property platform dedicated to driving science and technology growth in regional cities.
The deal will see the two partners invest £360 mln (€408 mln) of capital, property and intellectual assets into a new company, Bruntwood SciTech.
'We are delighted to have formed a partnership with Legal & General, an organisation that shares our vision for unlocking growth in the science and technology sector in the UK regions,' said Bruntwood CEO Chris Oglesby. 'We are well suited and aligned in terms of our vision and approach to regeneration.'
The deal represents the largest investment made in science and technology property assets in Europe this year. It kickstarts a business plan that will see Bruntwood SciTech’s assets grow from 1.3 mln ft2 (120,000 m2) on day one to over 6.2 mln ft2 over the next ten years, increasing the value of the portfolio to £1.8bn.
'Our focus is on creating thriving cities - breathing life into places where knowledge-based businesses can start and scale, driving growth for the UK economy,' added Oglesby.
Bruntwood SciTech’s portfolio already comprises more than 500 science and technology businesses ranging from digital start-ups to global life sciences companies. It is centred around flagship assets and development projects in Manchester, Birmingham and Leeds, and plans further expansion in Liverpool.
In the medium and longer term the business will explore opportunities for investment in other UK regional cities.
The initiative will be chaired by Oglesby and led by current Bruntwood chief commercial officer Phil Kemp as CEO.
'Through our investment in Bruntwood SciTech, we are partnering with a best in class management team at Bruntwood with a track record of delivering and developing major science and technology projects across the UK’s regions,' concluded Nigel Wilson, chief executive of Legal & General.
