L&G complete £246m London office deal

The purchase of the TfL building in East London is part of the UK insurer’s pledge to commit £15 billion to UK infrastructure and direct real estate.

Legal & General has completed the purchase of The Transport for London (TfL) Building at The International Quarter in Stratford for £246 million (€330 million; $359 million).

The UK insurer acquired the property from Australian-listed property group Lendlease and UK Government-owned railway development company LCR as part of a series of initiatives to invest long-term capital across the towns and cities of the UK.

L&G announced last year that it planned to commit £15 billion to UK direct real estate and infrastructure and has invested £6.6 billion to date. Notable other deals from this initiative include the £400 million development of a regeneration scheme in Cardiff with Rightacres and a £400 million regeneration scheme in East Leeds which it will develop in partnership with developer Scarborough Group.

“With significant volumes of patient capital under management, we believe that it is inevitable that the private sector in the form of long-term institutional investment plays a meaningful role in bringing about major regeneration and driving UK economic expansion,” commented Gordon Aitchison, director of investment and development at Legal & General Property.

Cushman & Wakefield advised Legal & General Property on the deal, while JLL acted for Lendlease and LCR.