"This latest investment further strengthens the Fund's ability to scale its development pipeline and accelerate delivery, as it continues to see strong interest from investors seeking long-term exposure to the UK rental market"
- Dan Batterton - L&G
The Scottish National Investment Bank has invested £50m in L&G's Build to Rent (BTR) Fund, supporting the delivery of purpose-built privately rented homes across Scotland.
The Bank's participation is designed to attract further capital to the Scottish rental market and stimulate new BTR development. L&G manages £5bn of assets across its housing platform and has deployed more than £4bn through its BTR strategy, delivering over 10,000 homes across the UK.
"We're delighted to welcome the Scottish National Investment Bank as an investor in L&G's BTR Fund, reflecting a strong alignment between our organisations' investment objectives and shared commitment to supporting housing delivery," said Dan Batterton, head of housing, asset management at L&G (pictured second from left).
"BTR is a core component of L&G's wider housing strategy, enabling us to deploy patient, long-dated capital into areas of acute need while delivering resilient, stable returns and enduring social and economic value. This latest investment further strengthens the Fund's ability to scale its development pipeline and accelerate delivery, as it continues to see strong interest from investors seeking long-term exposure to the UK rental market."
The BTR Fund incorporates environmental, social and governance (ESG) standards, with targets to achieve net-zero operational carbon for all new buildings by 2030. It also requires climate-resilient designs that meet an EPC B rating or higher.
Previous investments through the fund include a mixed-use regeneration scheme with 346 units at Candleriggs Square in Glasgow. The latest commitment supports L&G in expanding its presence in Scotland further.
As an impact investor, the Bank's involvement aligns with its mission to invest in ways that create thriving communities and address Scotland's housing shortage, as well as its goal of supporting the transition to a net-zero economy.
"High-quality private rental homes are an essential part of meeting Scotland's housing need and creating thriving places, and the Build to Rent market is an established route to attracting private capital at scale," said Nicola Douglas, executive director of sustainable investment at the Bank (pictured centre).
"The Fund's focus on delivering high-quality, sustainable homes aligns with the Bank's approach, and it supports tenants by offering professionally managed homes that support workforce mobility and a broad range of the modern renters' needs, all while breathing new life into urban neighbourhoods."
