$1 bil innovation seed asset for the new partnership between Lendlease and PGGM

Australian property major Lendlease as well as Dutch pension funds manager PGGM have joined forces to establish Lendlease Innovation Limited Partnership. Lendlease Innovation Limited Partnership, an investment of $1 billion that is investing in property assets within the life science and innovation area, with a particular concentrate specifically on Australia, Japan and Singapore.

Amo Residences developer joint by UOL Group, Kheng Leong Company, and Singapore Land Group, on a 60:20:20 ownership ratio.

PGGM will own an 85% stake of the joint venture, and Lendlease will have 15% stake. They will also offer services to the partnership that include management of development. In a joint press release both companies state that the partnership will use Lendlease’s knowledge to build “hubs that are economic hubs, where creativity, innovation, entrepreneurship and placemaking meet.”

The first property under the partnership agreement is a commercial freehold property situated at Yokohama, Japan. The building, which is 12 stories tall, is near Minato Mirai, an urban zone located in central Yokohama and a hub for R&D for Japanese brands such as Sony, Shiseido and Hyundai.

Justin Gabbani, Lendlease’s CEO, Asia, notes a rising need for hubs of real estate as well as development centers that are focused on innovation, research and developing next-gen technology. “The launch of an innovative investment partnership along alongside our long-term partner PGGM is a statement of confidence in the position Lendlease holds as a leading global real estate and investment company,” he says.

Additionally, PGGM says the innovation and life science industries within Asia Pacific will see a increase, fueled by a greater concentration on health and significant investment in technology. The partnership it has with Lendlease -that has been in development for over the last 25 years provides PGGM an opportunity to build an array of assets within the centers in which talent, creativity and knowledge meet as stated by Jikke De Wit as well as Ping Ip of PGGM Private Real Estate.