A multi-million pound deal has seen US real estate giant PGIM take a 25% stake in North West property firm Langtree.
PGIM Real Estate has acquired the stake on behalf of an investment strategy, with the Warrington-based property development and management company saying the move will build on its strong growth since its foundation five years ago.
The move will provide Langtree with the financial resources to boost its activities, said the firm behind schemes such as Wire Regeneration, a mixed-use town centre redevelopment of Warrington’s southern gateway, and SciTech Daresbury, also in Cheshire.
PGIM Real Estate is part of $1.4tn global business PGIM, itself one of the world's largest real estate managers, of US-headquartered Prudential Financial, Inc.
Charles Crowe, head of UK transactions at PGIM Real Estate, said: “We have worked with the Langtree team for more than 10 years on numerous ventures. They already manage over £400m of investment and development assets on our behalf and so taking an equity share in the development business was a natural next step.
"Langtree has a strong management team with a wide range of expertise and together with the strengths that we can bring to the business, we are excited about the future and keen to start exploring new opportunities.”
John Downes, Langtree’s chief executive and its majority shareholder, said: “We are delighted to have secured this equity investment into the business. PGIM Real Estate has tremendous strength in depth and a wealth of experience supporting joint ventures, which is a key aspect of our business.
"Their investment is a real show of confidence in what we are doing and gives Langtree a tremendous platform to grow, with new opportunities now being a real target.”
Langtree’s model includes a number of third-party management contracts comprising industrial, office and residential for clients that include PGIM Real Estate.
