(Alliance News) - John Laing Group PLC on Thursday said it has entered an agreement to create a UK-based platform to invest in retirement accommodation with developer and manager of retirement communities McCarthy Stone.
The FTSE 250-listed infrastructure investor said the agreement will see the platform Brigid Investments Ltd, in which John Laing and Macquarie Capital are each 50% shareholders, invest in purpose-built, completed and let retirement living units.
John Laing said 250 completed units will be acquired on completion of the transaction in the second quarter of 2021, with 400 further completed and let units set to be acquired over the next 12 months. Combined, these acquisitions represent an investment commitment of GBP50 million.
"This investment is in-line with our strategy of investing in platforms which are asset-backed, scalable and offer long-term, resilient cash flows. Importantly, this investment brings inflation-linked revenues and strong cash yield from the outset. There is potential for significant value creation both through scaling the platform, and as the sector matures and attracts further institutional capital into core infrastructure assets," said John Laing Chief Executive Ben Loomes.
Shares in John Laing were up 0.8% at 316.00 pence in London on Thursday.
By Zoe Wickens; zoewickens@alliancenews.com
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