This article is just an example of the content available to mallowstreet members.
On average over 150 pieces of new content are published from across the industry per month on mallowstreet. Members get access to the latest developments, industry views and a range of in-depth research.
All the content on mallowstreet is accredited for CPD by the PMI and is available to trustees for free.
This is PIC’s first investment into the UK retirement living sector. The insurer said the project is expected to ease pressure on the NHS, boost local employment and contribute to the government’s levelling up agenda, which has seen it announce a taskforce looking at expanding housing options for older people.
Hayley Rees, managing director of PIC Capital, said: “The UK retirement living sector is a growing market, with huge untapped potential that is increasing by the day as the population ages and the supply of new housing lags behind demand.”
The retirement villages are expected to provide homes for around 2,000 older residents and will include lifestyle and wellness facilities such as restaurants, gyms, spas, pools and resident communal spaces.
‘Considerable social value’ combined with stakeholder value
Senior Living Investment Partners, the joint venture between the two firms, aims to deliver £1bn in gross development value and develop a portfolio of “new, high-quality, retirement communities nationwide against a backdrop of undersupply and increasing demand” driven by a growing ageing population.
Octopus specialises in care homes, retirement living and affordable housing. This is Octopus Real Estate’s second retirement investment strategy.
Rees said it was “vitally important” for PIC’s entry into this sector to have found a partner that was aligned in PIC’s vision to generate “considerable social value whilst providing value in the long term for our stakeholders”.
“It was clear from our early conversations with the team at Octopus that they were this partner, and we look forward to working together to effect meaningful change in regional communities and society at large,” she said.
Apart from financing retirement homes, how else can insurers contribute to the levelling up agenda?