The Scottish National Investment Bank is strengthening its position in support of housing in Scotland with a £50m investment in L&G’s Build to Rent fund for privately rented homes.
The bank is aiming to attract more capital into the Scottish rental market and help stimulate the development and building of vital new places to live across Scotland.
L&G is a leading investor, developer and operator across UK residential property, with £5bn of assets under management across its housing assets. Through its BTR strategy, L&G has deployed more than £4bn of capital, delivering more than 10,000 homes across the UK.
Established in 1836, L&G is one of the UK’s leading financial services and pension groups and a major global investor, with £1.2 trillion in total assets under management.
The BTR Fund incorporates 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 include a mixed-use regeneration development with 346 units at Candleriggs Square in Glasgow.
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 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.”
He said the latest investment further strengthens the fund’s ability to scale its development pipeline and accelerate delivery. There is, he stated, strong interest from investors seeking long-term exposure to the UK rental market.
The Scottish National Investment Bank’s support for Build to Rent aligns with its mission to invest in places to create thriving communities and address Scotland’s housing shortage.
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.”
She said the fund supports tenants by offering professionally managed homes that support workforce mobility and a broad range of the modern renters’ needs.