Welcome to your weekly round-up of residential stories from EG.
Legal & General Capital’s Laura Mason is on a mission to grow alternative assets to £5bn.
Mason stepped into the chief executive role in July after 10 years at the group, including helping to set up the division in 2014. In her first interview in the role she tells EG how she aims to grow the business with new ventures that tap into society’s macro trends.
Having already established new lines in modular housing, VC initiatives, data centres, build-to-rent and more – now, Mason says: “I have come back at this time when the model has almost proven itself and now we are really aware of our growth potential.” To unlock that growth, Mason must keep finding the next big thing – the start-ups ripe for early-stage investment and with the potential to bring on more multi-billion-pound partnerships.
In other new starts, two years after investors Delancey and APG inked a £425m deal to buy a majority share in the Earls Court Partnership, a vision for the site (pictured) is finally emerging.
That vision is very different from the initial 7,500-home masterplan worked up a decade ago. Rather, the Earls Court Development Company aims to bring forward mixed-use with office, retail, leisure and around 4,800 homes of mixed tenures. “We want the residential blend to accommodate everyone, whether its for sale, for rent, for later living, for key worker living or affordable housing,” said ECDC chief executive Rob Heasman. Heasman previously directed Lendlease’s Elephant Park, so expect plenty of BTR investment opportunities.
This week saw more than £1bn committed to BTR with investment managers Gresham House and AXA IM both inking significant deals in suburban housing and KKR doubling up its BTR plans with Moda Living.
Gresham House has agreed to back Ecotek Homes’ £200m suburban housing strategy to deliver an initial portfolio of 1,000 homes in the Midlands and North West. AXA IM has also made its first foray into BTR with a £200m partnership with Packaged Living, and a potential £500m in the pipeline. Elsewhere, after committing to Moda Living’s £1bn city fringe strategy, KKR has doubled up plans with a further £610m with Apache Capital, now targeting the developer’s luxury prime flats.
John Dunkerley, chief executive and co-founder of Apache Capital, said: “Our strategic partnership with KKR demonstrates the growing maturity of the UK build-to-rent sector, which continues to attract global institutional capital thanks to its favourable demand-supply dynamics and defensive, counter-cyclical characteristics.”
View the magazine, download the app (iOS and Android) and read on for more of the week’s headlines:
COMMENT Why senior housing is the key to better health
New homes supply drops for the first time in eight years
Peabody hunts development partner for £300m Abbey Wood sites
Montreaux inks £55m refi for Cricklewood B&Q
Oaktree-backed lender provides £39m for Kent retirement scheme
Barts wins consent for 1,500-home hospital
Imperial lodges plans for £1bn Acton regen
Manchester council submits plans for 5,500-home Victoria North project
Regal wins consent for £270m Wembley scheme
Places for People hires new chief exec
Grainger re-hires Clark to head investment
Grainger places Trust in Sheriff’s hands
Strawberry Star appoints trio for housing drive
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