Independent UK law firm Burges Salmon has advised Border to Coast Pensions Partnership, the largest UK Local Government Pension Scheme pool, on the launch of its £1.2 billion UK real estate fund, one of the largest of its kind in the UK. The fund takes the form of an authorised contractual scheme, an FCA regulated investment structure.
Advising Border to Coast on the one-of-a-kind and large-scale project was a cross-sector, multidisciplinary team, led by director Christopher Bartlett and partners Tom Dunn and Richard Clark, who provided specialist and niche real estate, tax and funds expertise.
Working in collaboration with Tyne and Wear Pension Fund, Cumbria Pension Fund, and South Yorkshire Pensions Authority, the fund’s portfolio is made up of 65 assets comprising office, retail, care home, student accommodation, industrial and warehouse space, located across 26 UK counties. Border to Coast hopes to more than double the fund’s size over the next five years to reach a value in excess of £3 billion.
Christopher Bartlett comments: “Being the biggest real estate funds launch in the UK with a value in excess of £1.2bn, this was an incredibly demanding and complex project which lasted over a year. It required a “one team” approach, with Burges Salmon advising on a number of aspects including real estate, funds structuring and tax. We are delighted to have successfully guided our client through what was an incredibly challenging transaction and to have achieved a smooth and timely completion.”
Alistair Smith, Head of Real Estate at Border to Coast, says: “We believe the UK market offers significant opportunity and this strong market, coupled with further capital commitments from Partner Funds, means that we see £3 billion as being a realistically achievable objective for the UK Real Estate proposition. Many thanks to the Burges Salmon team for its excellent advice throughout the process and for working in such close collaboration with our in-house team and all our stakeholders so we could launch the fund in the expected timescales.”
Working with UK and international funds, corporates, institutional investors, trusts, sovereign wealth entities, family offices, and ultra-high net worth individuals, Burges Salmon’s Built Environment Investment and Capital Markets lawyers help clients acquire, manage and secure the best returns on their investments across all forms of UK real estate. Burges Salmon’s Financial Services sector group combines legal expertise with genuine sector knowledge, providing market-leading insight to help clients identify and capitalise on new opportunities, whilst enabling them to respond quickly to regulatory change.