On the go: The £90.8bn Universities Superannuation Scheme has acquired three real estate assets handled by holiday resort operator Butlin’s.
The scheme agreed the £300mn acquisition with current owner Bourne Leisure Group, which is owned by Blackstone.
The deal covers the real estate assets of the three Butlin’s sites at Skegness, Minehead and Bognor Regis.
The acquisition falls within the scheme’s strategy of “investing in long-dated inflation and nominal income streams that are aligned with USS’s long-term liabilities”, USS said.
The scheme currently has a £3bn portfolio of private real estate and credit assets, which it plans to grow “substantially” over time in order to benefit from its hedging qualities.
Cushman & Wakefield advised USS on the transaction. Gowling WLG provided legal advice to the scheme, while Blackstone was advised by Eastdil and DLA.
Mike Powell, head of private markets group at USS Investment Management, said: “We are very pleased to conclude this acquisition.
“Butlin’s is a much-loved British institution and this acquisition represents a significant investment in its future, while providing the long-term cash flows that USS needs to pay the pensions promised to our members.”
This article originally appeared on MandateWire.com
