Legal & General Capital makes first U.S. investment, with seed capital for $4 billion platform to fund major life science and technology assets across multiple regional U.S. markets
Legal & General Capital and U.S.-based real estate developer Ancora establish landmark 50:50 partnership as LGC internationalizes its platform to drive shareholder value
Legal & General Capital (LGC) today announced that it has formed a 50:50 partnership with U.S.-based real estate developer Ancora to create a real estate platform dedicated to driving life science, research and technology growth across the U.S. The deal will see Legal & General Capital investing an initial $500 million of seed capital to form a new company, Ancora L&G, LLC. Operating under the name Ancora, the business’ geographic focus will sit predominantly within emerging regional markets in the U.S. where early mover advantages are available.
The new venture builds on the successful track record of Ancora’s team and the investing record of LGC in the UK, including over $5 billion currently committed to science and technology development projects at Oxford and Manchester universities. Ancora will be capitalized by LGC to deliver $4 billion (£3.2bn) of existing pipeline and planned acquisition and development activity over the next five years. To support future growth, LGC is seeking third party co-investment partners to accelerate scaling the portfolio. As with other LGC investments, LGC aims to finance longer term cashflows and use them to back Legal & General’s annuity business, providing better value for policyholders and greater options for investors. LGC has a strong track record of establishing and scaling up innovative businesses and has led the way in driving science and technology growth through its Bruntwood SciTech partnership, the UK’s leading developer of innovation districts. Bruntwood SciTech has quickly expanded over 11 UK locations, a model LGC will look to replicate across the U.S.