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Legal & General Fund Lincoln Development

Posted by Richard Ward in ,

Image courtesy of Flickr, Creative Commons

Legal & General Investment Management's real asset division will fund the development of two student accommodation scheme in the East Midlands.

LGIM Real Assets has made a £25.6m acquisition on behalf of Legal & General's LPI Income Property Fund. The accommodation will consist of 301 student bedrooms arranged across two block and is expected to become operational in the final quarter of 2019.

The student accommodation has been pre-let to the University of Lincoln for a period of 21 years.

Derek Gilby, a senior fund Manager of the LPI Income Property Fund, said: "We believe that quality facilities help to provide a quality education."

"This is an excellent buy for the fund, offering a secure long-term income stream from an investment grade University as well as satisfying our objective of continuing to secure public sector tenants for the fund."

The fund was established in 2010 and has over £1.2bn of assets under management.