UK REAL ESTATE FUND HITS £2BN IN ASSETS
Posted on September 23rd, 2025
- With 10 Partner Funds now invested, the proposition has grown to £2bn, enabling and expanding LGPS access to the long-term opportunity in UK real estate.
Demonstrating the strength of its continued partnership, ten Border to Coast LGPS Partner Funds are now invested in the pool’s UK Real Estate proposition, taking the total size to £2bn.
Launched in October 2024 with 65 properties seeded from three Partner Funds, the proposition now holds 96 properties following the transition of Teesside Pension Fund’s £396m real estate portfolio.
In addition, six further Partner Funds have made their first cash subscriptions to the fund. Collectively, Partner Funds have committed £430m of fresh capital. This will be deployed into high-quality real estate, expanding Partner Fund exposure to the significant and well diversified investment opportunity the UK Real Estate Main Fund offers. For some, the proposition enables exposure to direct real estate for the first time.
The addition of a total of £826m of assets and capital takes the total size of the proposition to £2bn less than a year since launch. It enables Partner Funds to benefit from the pool’s scale and expertise to cost-effectively access the strong investment opportunity in quality UK property.
“The UK Real Estate proposition is a collective endeavour and a shining example of how pooling can benefit LGPS funds. It provides new capabilities and access to a highly diversified investment portfolio with the benefit of an experienced, professional internal team working solely to make a difference for the scheme.”
The transition of the Teesside real estate portfolio required a detailed and complex process which was managed by the Teesside Pension Fund team, Border to Coast’s specialist real estate team, and external partners including Aberdeen (investment advisor and asset manager), Knight Frank (independent valuer), Workman (property manager), Burges Salmon (legal adviser), Hollis (surveyor) and Ramboll (environmental).
Cameron Murray, Head of UK and European Real Estate at Aberdeen Investments, said: “This milestone is testament to the efficiencies of pooling and our partnership’s strengths and expertise. Together we are building a high-quality real estate portfolio at pace, bringing real diversification benefits as well as supporting the UK growth mission. With an exciting pipeline of opportunities, we are incredibly proud of what we have achieved together.”
For more information on the UK Real Estate Fund, read our previous announcement here.
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