The Scottish National Investment Bank (“the Bank”) has invested £50 million L&G’s Build to Rent (BTR) Fund, supporting the delivery of high-quality, purpose-built privately rented homes across Scotland.
The Bank’s participation in the Fund aims to attract more capital to the Scottish rental market and help stimulate the pipeline for new BTR development.
L&G is a leading direct investor, developer and operator across UK residential property, with £5 billion of assets under management across its housing platform. Through its BTR strategy, L&G has deployed more than £4 billion of capital, delivering more than 10,000 homes across the UK.
The BTR Fund incorporates strong ESG (environmental, social and governance) standards, with targets to achieve net-zero operational carbon for all new buildings within its portfolio by 2030. It also implements climate-resilient designs that achieve an EPC B rating or higher.
Previous investments through the Fund include a mixed-use regeneration development with 346 units at Candleriggs Square in Glasgow, with the latest investment supporting L&G to expand its presence in Scotland.
Dan Batterton, Head of Housing, Asset Management at L&G, said: “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. 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.”
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As an impact investor, the Bank’s support for L&G’s Build to Rent Fund aligns with its mission to invest in places to create thriving communities and address Scotland’s housing shortage. It also aligns to its mission to support the transition toward a net-zero economy.
Nicola Douglas, Executive Director of Sustainable Investment at the Bank, said: “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.
“The Fund’s focus on delivering high-quality, sustainable homes aligns to 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.”
