MORNING NEWS: USS buys £405m resi portfolio from Blackstone

Good morning. Here’s your daily round-up of the latest news and views from EG and a collection of industry-relevant headlines from the nationals, all perfectly curated to set you up for the day ahead. Blackstone has secured the largest shared-ownership deal since the concept was launched in 1990, with the sale of a 3,000-home portfolio from the Sage Homes business it backs with Regis. The properties have been bought for £405m by Universities Superannuation Fund for its newly launched registered provider Sparrow Shared Ownership. Blackstone’s head of real estate for Europe James Seppala said: “Blackstone has been the largest provider of newly built affordable housing in the country for the past three years. By deploying capital to fund the development of new homes, we are proud to have created an institutional grade portfolio which has, in turn, attracted more long-term institutional capital into the sector.” He added: “This transaction will allow us to continue to invest capital into Sage Homes to help alleviate the structural undersupply of housing across the UK.” USS isn’t the only major fund looking to deploy capital into real estate at the moment. The Welsh Pension Partnership, which has some £22.5bn of assets through eight Welsh local government pension schemes, has appointed Schroders and CBRE IM to help it build a real estate investment proposition. The WPP is keen to create a open-ended fund investing in core UK real estate, a global vehicle to invest in direct real estate and fund and a more local fund focused on impact investing, with at least 50% of assets located in Wales. Elsewhere, Hong Kong investor Lai Wing, known as the “Ten billion shop king” has sold a block on Oxford Street to JP Morgan for just over £70m. The 26,000 sq ft 291 Oxford Street and 2 Harewood Place, W2, was put up for sale in February through JLL as part of the £260m Trinity Portfolio. Lai bought the property from Alan Sugar’s Amsprop for £76m in 2013. Hanover Green advised JP Morgan on the deal. And PPHE Hotel Group has won its battle to bring a hotel/office/light industrial development to London’s Waterloo. The hotel group has been working up plans for a 186-bedroom hotel, with two floors of office and industrial space, at 79-87 Westminster Bridge Road, SE1, since it bought the site in 2019. Following the conclusion of a public inquiry the group is now ready to get building. All of the news from EG, plus a selection of headlines from the nationals: Battle over in Waterloo as PPHE gets go-aheadTech firm Flipper finds home in Greenwich’s Design DistrictBlackstone sells 3,000 home portfolio to USSSchroders and CBRE IM nab Welsh pension fund mandatesJP Morgan completes Oxford Street buyCOMMENT: When it comes to estate rationalisation, we need rational thinkingLichfields promotes 15 across its UK teamsIrish planning body approves 564-home scheme in DublinBeijing has second attempt at giant Chinese embassy plansPartner sought for 900-home Newcastle siteDorchester Living preps planning for 6,000-home Bicester masterplanSwiss Life-backed co-living platform grows top teamLondon Councils signs for new HQ in the CityGlobal industrial deals drop 16% to $78bnSiemens files plans for Yorkshire hub expansionChancerygate and Hines team up for spec urban logistics siteBlackstone-backed PBSA provider awaits nod for Newcastle schemeAvison Young wins Old Oak briefOffices being sold at biggest discount since financial crisis (£)