Swiss Life Asset Managers (SLAM) has entered a joint venture with True North Management to invest in the UK co-living sector, with the former acquiring a minority ownership stake in the latter.
True North Management is a real estate investment management company founded by CEO Jill Ju and her business partner Ingo Holz, a Germany-based, international real estate expert and founder of Beos, now part of SLAM.
The investment manager debuted with the successful Holm Wimbledon Park scheme in London, which currently enjoys 99% occupancy and plans to expand to a total of 111 beds. The firm has also acquired a second prime asset in a London Zone 1 location, with the opportunity to create another co-living space in London.
Co-living is a relatively nascent sector that has emerged as a new model suited to those seeking convenience, flexibility, high-quality living, and meaningful connections. According to True North, it benefits from the same inflation-hedging nature of other living asset classes and generates stable income for institutional investors in the long run.
Each co-living room offers customers a fully furnished private accommodation space, complete with essential amenities such as a kitchenette and bathroom, along with communal spaces for sharing and collaboration, curated events, co-working and social gatherings.
Per Erikson, head of real estate at Swiss Life Asset Managers, said: 'The co-living sector presents an exciting opportunity within the real estate market, particularly in the UK. We remain focused on exploring new opportunities as we expand our portfolio.
'True North's expertise in co-living development, coupled with Swiss Life Asset Managers’ residential know-how and investment capacity, offers the opportunity to become a leader in the evolving co-living landscape.'
Said Ju: 'Both organisations share a purpose of enabling people and thinking long-term, which made Swiss Life Asset Managers an ideal partner for us. We both see the value of a partnership between a team of entrepreneurial experts and a supportive long-term investor.
'We are working on an expansive pipeline of new sites to grow our UK portfolio. There is a lack of established investment vehicles in this asset class, and we aim to create a fund vehicle that would enable mission-aligned capital partners to join us on this journey.'
