PGIM Real Estate has acquired a 25% stake in Langtree, on behalf of an investment strategy, in a multi-million pound deal. Langtree is a major UK regional property development and management business.
In a statement, US-based Prudential Financial’s real estate investment management business said that the investment will build on Langtree’s strong growth since its foundation five years ago and provide it with the financial resources to boost its activities. Langtree is behind schemes such as Wire Regeneration, a major mixed-use town centre redevelopment of Warrington’s southern gateway and the science and technology park, SciTech Daresbury, also in Cheshire.
Langtree’s model includes a number of third-party management contracts comprising industrial, office and residential for clients that include PGIM Real Estate.
Commenting on the investment, Charles Crowe, head of UK transactions at PGIM Real Estate, said: ‘We have worked with the Langtree team for more than 10 years on numerous ventures. They already manage over £400 mln of investment and development assets on our behalf and so taking an equity share in the development business was a natural next step. Langtree has a strong management team with a wide range of expertise and together with the strengths that we can bring to the business, we are excited about the future and keen to start exploring new opportunities.’
John Downes, Langtree’s chief executive and its majority shareholder, said: ‘We are delighted to have secured this equity investment into the business. PGIM Real Estate has tremendous strength in depth and a wealth of experience supporting joint ventures, which is a key aspect of our business. Their investment is a real show of confidence in what we are doing and gives Langtree a tremendous platform to grow, with new opportunities now being a real target.’
