Longfellow Real Estate Partners Announce Agreement to Enter into Joint Venture with PSP Investments & Norges Bank Investment Management
New joint venture set to invest in and develop innovative life science real estate in key UK markets
London, UK (18/10/2022) – Longfellow Real Estate Partners announced today it has exchanged agreements to enter into a partnership with the Public Sector Pension Investment Board (PSP Investments) and Norges Bank Investment Management (NBIM). The partnership between the three parties is expected to complete in November and is targeting a £1.5BN venture focused on investing in life science and innovation real estate across the UK, with a particular emphasis on the Golden Triangle markets of Cambridge, Oxford, and London.
The Golden Triangle has developed into one of the leading innovation clusters in the world, anchored by globally significant universities, research institutes and teaching hospitals, a high-quality talent pool, access to capital, and a broad range of exciting start-up, growth and blue-chip companies.
Within the initial phase of the partnership, NBIM will join PSP Investments and Longfellow in the ownership of Capital Park Cambridge, which was acquired in May 2022. This 42-acre campus, located in Cambridge, UK, provides approximately 245,000 square feet of innovation-focused workspace that is home to a dozen companies from sectors including fintech, agtech and biotech, through to patent law and the NHS. Cambridge is a high-functioning ecosystem where research excellence, a deep base of skills and an open culture combine with a sophisticated investment environment, and the UK’s most mature life science real estate market to create a dynamic environment for industry-academic-clinical collaboration and innovation.
“The joint venture with Norges Bank Investment Management and PSP Investments is evidence of the strength of Longfellow’s life science real estate platform and focus,” said Longfellow Real Estate Partners Co-Founder & CEO, Adam Sichol. “Together we see the opportunity to create thoughtful, world class space to support a range of occupiers across the UK’s life science and innovation ecosystems.”
Jayesh Patel, Head of UK Real Estate, Norges Bank Investment Management commented, “We look forward to working with Longfellow and PSP Investments over the long-term in the UK life science sector.”
“We are pleased to have reached agreement to welcome NBIM to the life sciences partnership with Longfellow,” said Stéphane Jalbert, Managing Director, Head of Asia-Pacific and Europe, Real Estate Investments, PSP Investments. “This venture will allow us to invest at scale in the fast-evolving life science sector, helping creating ecosystems where corporates, universities, and start-ups are forming clusters that enable knowledge sharing and innovation.”
About Norges Bank Investment Management
Norges Bank Investment Management is the asset management division of Norges Bank, the Norwegian central bank. As manager of the Government Pension Fund Global, its mission is to safeguard and build financial wealth for future generations in Norway. The fund is invested globally in equity, fixed income, real estate and renewable energy infrastructure. It had investments worth 11,657 billion kroner, or $1.2 trillion, as of 30 June 2022.
About PSP Investments
PSP Investments is one of Canada’s largest pension investment managers with approximately C$230.5 billion of net assets as of March 31, 2022. It manages a diversified global portfolio of investments in public financial markets, private equity, real estate, infrastructure, natural resources and private debt. Established in 1999, PSP Investments manages net contributions to the pension funds of the federal Public Service, the Canadian Forces, the Royal Canadian Mounted Police and the Reserve Force. Headquartered in Ottawa, PSP Investments has its principal business office in Montreal and offices in New York, London and Hong Kong. For more information, visit www.investpsp.com or follow PSP Investments on Twitter and LinkedIn.
About Longfellow Real Estate Partners
Longfellow Real Estate Partners is a real estate investment company founded in Boston, Massachusetts in 2009. With over 200 employees in bio-innovation clusters across the US and UK, Longfellow partners with renowned universities and pioneering life sciences and technology companies to help bring visionary ideas to life. Driven by a passion to support those working to advance the human condition, Longfellow continues to grow and expand in the name of scientific progress. For more information, visit https://lfrep.com.
Maria Constantinescu – PSP Investments
Director, External Communications
Phone: +1 (514) 218-3795
Casey Angel – Longfellow
Director, Corporate Communications
Phone: +1 (619) 400-7990