Legal & General’s asset management arm has invested £85m in Anchor, a not-for-profit provider of housing and care for older people.
Anchor will use the money, invested on behalf of Legal & General Institutional Retirement, to fund the development of affordable, energy-efficient homes. The company plans to build an average of at least 500 a year over a rolling 10-year period.
The investment is structured as a 15-year bullet senior secured note as part of a £100m bilateral L&G shelf facility, which is now fully drawn. L&G and Anchor have invested together for a decade.
Steven Bolton, head of corporate private credit for Europe at L&G Asset Management, said: “We believe institutional investment can play an important role in helping to address societal challenges, and organisations like Anchor provide an enormous contribution in terms of social value. In the UK, we urgently need to drive up the delivery of all types of homes, across all tenures. As well as a housing shortage, affordability proves challenging, so funding the delivery of energy efficient and affordable homes is ever more important.”
Centrus arranged the deal.
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