Legal & General Investment Management’s real asset division is funding the development of two student accommodation blocks in the East Midlands of England.
LGIM Real Assets said it has made a £25.6m (€29.2m) acquisition on behalf of Legal & General’s LPI (Limited Price Inflation) Income Property Fund.
EBW Developments, a joint venture between Bloc and Marcus Worthington Properties, is the developer.
The accommodation will consist of 301-ensuite student rooms arranged across two blocks and development is expected to be completed by the fourth quarter of 2019.
Legal & General said the blocks have been pre-let to the University of Lincoln for 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.�
Launched in 2010, the LPI Income Property Fund has over £1.2bn of assets under management.


