Investment aims to attract more capital to the Scottish rental market and accelerate delivery of private rented homes 

The Scottish National Investment Bank (SNIB) has invested £50m in L&G’s build to rent (BTR) fund, which supports the delivery of private rented homes across Scotland.

SNIB L&G_2

(L to R): Richard Duvall, Investment Specialist Associate, Asset Management at L&G; Dan Batterton, Head of Housing, Asset Management at L&G; Nicola Douglas, Executive Director of Sustainable Investment at the Bank; Jess Cunningham, Assistant Fund Manager – BTR, Asset Management at L&G; Rebecca Currie, Senior Associate of Investment Origination at the Bank

The government-owned development bank said its investment aims to attract more capital to the Scottish rental market and help accelerate the pipeline for new BTR development.

L&G’s BTR fund has targets to achieve net-zero operational carbon for all new buildings within its portfolio by 2030 as well as building new homes to EPC B standards or higher.

It has deployed more than £4bn of capital, delivering over 10,000 homes across the UK since it was established in 2016.

The strategy has previously supported the delivery of schemes including a mixed-use regeneration development with 346 units at Candleriggs Square in Glasgow.

Dan Batterton, head of housing, asset management at L&G, said: “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.”

SNIB is wholly owned by Scottish government  but operates independently from the administration. It provides long-term debt or equity investments to businesses and projects.

The government has committed to capitalising the bank with £2bn in its first 10 years. Over time, as the bank’s initial investments are repaid, it will reinvest those funds in more businesses and projects.

 

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