Rothesay, in partnership with infrastructure investment firms Equitix and GRAHAM, and the University of Manchester, is to deliver a £530m investment in student accommodation.
The Fallowfield campus redevelopment project is expected to deliver 3,300 high-quality, sustainable student rooms alongside a range of modern shared amenities.
UK pensions minister Torsten Bell says: “Britain needs to get back into the business of investing in its own future, and we are supporting the building, investing and innovating that makes that happen. This significant commitment to sustainable student housing in Manchester shows how institutional investment can achieve that while delivering strong long-term outcomes for savers.”
The investment comes as the Labour government pushes for greater pension scheme investment into domestic private assets, with Pension Schemes Bill allowing the mandation of scheme investment into such assets by 2030 if targets are not met.
Tom Pearce, chief executive of Rothesay, says: “Rothesay is committed to making high-quality investments that deliver real social and environmental value while securing the future for the nearly one million people whose pensions we protect.”
Incoming prime minister Andy Burnham is also expected to keep Labour’s headline housing pledge to build 1.5 million homes during the current Parliament, which is due to end in 2029.