Local Pensions Partnership Investments Limited and London LGPS CIV have committed £30m through their jv, the London Fund, to the Yoo Fund.
The £400m Yoo Fund, owned by Yoo Capital Management and the Astarte Special Opportunities Platform, was set up in late 2019 with the aim of redeveloping and repositioning existing assets predominantly in the Greater London area.
Its primary focus is on sectors Yoo Capital believes to be either undersupplied or mispriced, such as life sciences, healthcare and creative industries. To date it has acquired two seed assets: the 450,000 sq ft Shepherd’s Bush Market, and the 110,000 sq ft Saville Theatre on Shaftesbury Avenue.
At Shepherd’s Bush Market the fund plans to add affordable housing and office space, including incubator spaces for tech and biotech start-ups and studios for artists and creatives. On Shaftesbury Avenue the fund wants to turn the space, which has been converted into a cinema (pictured), back to its original theatre use with a boutique hotel attached.
Richard Tomlinson, chief investment officer at Local Pensions Partnership Investments, said: “Through this partnership we have the opportunity to secure the long-term future of two London landmarks, demonstrating the fund’s investment strategy to support large-scale regeneration projects that serve local communities, create jobs and provide affordable housing, alongside wider social and environmental benefits.”
Mike O’Donnell, chief executive of London CIV, added: “As the second investment by The London Fund, I look forward to making further progress in our strategy to deploy capital to long-term and sustainable projects in London which benefit local communities, all while offering good financial returns.”
The London Fund’s first investment was in Delancey and Oxford Residential’s DOOR SLP build-to-rent housing platform.
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