Debt secured against a range of commercial property types
Experts in lending across the property spectrum
We specialise in providing senior debt loans ranging from £20m to c.£400m1 secured on income-producing real estate assets in the US, UK and major cities of Western Europe. We lend across a wide variety of sectors, including prime office, industrial, retail, residential, build-to-rent, private rented sector (PRS) and student accommodation. Our focus is on the senior part of the capital structure, with a typical loan-to-value (LTV) of around 55-60%, which provides a significant equity cushion.
Drawing on our position as one of the UK’s largest and most experienced property investors on the equity side, we provide flexible capital, offering both short- and long-term debt that is suitably structured on what, we believe, are attractive terms. Our experienced team of real estate debt professionals has a proven track record and delivers speed of execution that has consistently made us a go-to partner of choice for both borrowers and investors.
1Source: LGIM as at 30 June 2023.
Case studies
Loan to Clipstone REIT
We provided a seven-year bullet term loan with Clipstone Industrial REIT, a real estate investment trust targeting industrial properties in London and the South East. The loan is secured against six light industrial assets which benefit from a diverse roster of tenants, including DIY retailers, plastic bottle manufacturers and automotive sectors.
Clipstone source: LGIM as at October 2021.
Financing self-storage assets
We lent £138m against a portfolio of UK-based self-storage assets. We believe this is a sector with positive fundamentals driven by demographic trends supporting demand and high barriers to entry for future supply.
Self-storage assets source: LGIM as at November 2020.
Supporting single-family rental houses
We provided a £78m loan secured on a portfolio of 750 single-family rental houses across the UK. The investment supports regional affordable housing built to a high environmental standard.
Single-family rental source: LGIM as at November 2020.
Providing finance to Glasgow City Council
We provided long-term financing to Glasgow City Council to help settle a landmark equal pay dispute. Financing was secured on an underlying property portfolio within the city.
Glasgow City Council source: LGIM as at June 2019.
Other asset strategies
Alternative debt
Our transactions in alternative debt cover a broad spectrum – from trade and asset-backed finance – through to government supported opportunities, derivatives strategies and private asset-backed securities (ABS).
Corporate debt
For private corporate and public sector entities seeking to borrow outside of the public markets, we specialise in providing bespoke debt financing across a variety of sectors, structures and geographies.
Infrastructure debt
We provide debt financing across four key infrastructure sectors: energy, transportation, digital and social.
Private credit
High quality investments with a relentless focus on credit, structure and pricing.
Get in touch
Get in touch
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Key risks
The value of an investment and any income taken from it is not guaranteed and can go down as well as up, you may not get back the amount you originally invested. Past performance is no guarantee of future results.
Whilst LGIM has integrated Environmental, Social, and Governance (ESG) considerations into its investment decision-making and stewardship practices, this does not guarantee the achievement of responsible investing goals within funds that do not include specific ESG goals within their objectives.
The risks associated with each fund or investment strategy should be read and understood before making any investment decisions. Further information on the risks of investing in this fund is available in the prospectus at. http://www.lgim.com/fundcentre