Nest Launches £1bn Investment Platform for UK BTR Sector Nest, the government-backed auto-enrolment pension provider, has entered into a groundbreaking partnership with Legal & General (L&G) and Dutch pension fund PGGM to drive substantial investment in the UK’s build-to-rent (BTR) sector. This strategic collaboration will establish a £1 billion investment platform aimed at accelerating the development of high-quality rental properties across the country. The partnership will launch with an initial combined investment of £350 million, highlighting the partners’ strong commitment to the UK BTR market. This sizeable initial funding underscores their confidence in the sector’s long-term potential and growing importance. The platform’s primary focus will be on developing and acquiring rental properties throughout the UK, particularly in key urban areas where demand for quality housing is on the rise. With the UK facing significant housing shortages, this initiative comes at a critical time. By creating thousands of new rental homes, the partnership will help to alleviate housing pressures in areas with severe supply deficits. The focus on BTR schemes presents an opportunity to meet the growing demand for rental accommodation and contribute to resolving the country’s ongoing housing crisis. This collaboration also marks an important move by institutional investors into the residential property market, highlighting the increasing appeal of BTR as a long-term asset class. With pension funds and other large-scale investors recognizing the potential for stable returns, the partnership is poised to have a lasting impact on both the housing market and the investment landscape. The combined expertise and resources of Nest, L&G, and PGGM will enable the partnership to scale quickly and deliver results. L&G’s existing BTR platform, with a pipeline of nearly 2,000 homes and a target of 6,000 more in planning, development, or operation, provides a strong foundation for this collaboration. The partnership’s scale and ambition signal a significant development for the UK’s BTR sector, with the potential to accelerate the delivery of much-needed rental housing while generating long-term benefits for pension fund investors.

Nest, the government-backed auto-enrolment pension provider, has entered into a groundbreaking partnership with Legal & General (L&G) and Dutch pension fund PGGM to drive substantial investment in the UK’s build-to-rent (BTR) sector. This strategic collaboration will establish a £1 billion investment platform aimed at accelerating the development of high-quality rental properties across the country.

The partnership will launch with an initial combined investment of £350 million, highlighting the partners’ strong commitment to the UK BTR market. This sizeable initial funding underscores their confidence in the sector’s long-term potential and growing importance. The platform’s primary focus will be on developing and acquiring rental properties throughout the UK, particularly in key urban areas where demand for quality housing is on the rise.

With the UK facing significant housing shortages, this initiative comes at a critical time. By creating thousands of new rental homes, the partnership will help to alleviate housing pressures in areas with severe supply deficits. The focus on BTR schemes presents an opportunity to meet the growing demand for rental accommodation and contribute to resolving the country’s ongoing housing crisis.

This collaboration also marks an important move by institutional investors into the residential property market, highlighting the increasing appeal of BTR as a long-term asset class. With pension funds and other large-scale investors recognizing the potential for stable returns, the partnership is poised to have a lasting impact on both the housing market and the investment landscape.

The combined expertise and resources of Nest, L&G, and PGGM will enable the partnership to scale quickly and deliver results. L&G’s existing BTR platform, with a pipeline of nearly 2,000 homes and a target of 6,000 more in planning, development, or operation, provides a strong foundation for this collaboration. The partnership’s scale and ambition signal a significant development for the UK’s BTR sector, with the potential to accelerate the delivery of much-needed rental housing while generating long-term benefits for pension fund investors.