Manchester skyscraper sold to investment firm

One of the skyscrapers in a major Manchester scheme has been sold to property firm Legal and General Investment Management.

The firm has bought the 37-storey North Tower which is part of the huge development at the foot of Deansgate.

The acquisition of the 276-apartment scheme has been made on behalf of LGIM’s two largest funds, the UK Property Fund and Managed Fund.

Details of the deal have not been made public.

Renaker’s Deansgate Square scheme is made up of four towers and the largest will be Manchester’s tallest building at 64 storeys.

The deal is Managed Fund’s first build-to-rent acquisition.

CBRE advised on the transaction.

Michael Barrie, director of Real Estate Fund Management at LGIM Real Assets, said: “This acquisition represents the coming together of two LFIM Real Assets’ largest funds as we continue to diversify our exposure to alternative sectors.”

Tom Sinclair, residential investment director at CBRE, said: “The North Tower marks CBRE’s second transaction with L&G at Deansgate Square and demonstrates continued confidence in Manchester’s residential market following strong occupier demand at the West Tower.

“On completion, the North Tower will provide exceptional residential accommodation, providing more renters with the opportunity to experience life at this desirable residential address.”

Legal & General acquired the scheme’s West Tower two years ago.