In a significant development, PGIM Real Estate has announced the acquisition of the real estate and operations of Signature Senior Lifestyle, a prominent UK senior housing developer. The investment manager is poised to invest an unspecified amount on behalf of its European value-add strategy in collaboration with Elevation Advisors to facilitate the transaction, structure, and execute it, as well as oversee the management of the Signature portfolio.
The portfolio in question comprises 13 senior living communities, including 10 operating properties and three consented development projects in and around Greater London. Despite the acquisition, the established management team at Signature will retain their roles, ensuring continuity and focusing on the growth of the brand.
This initiative comes on the heels of PGIM Real Estate’s joint venture with Signature in April 2021, aimed at developing and operating prime senior housing in and around Greater London and the South East. The partnership with Elevation Advisors formed the groundwork for this venture, reinforcing PGIM Real Estate’s commitment to the UK senior housing market.
Nabil Mabed, senior portfolio manager of European value-add strategy at PGIM Real Estate, expressed optimism about the deal, noting, “This is a landmark deal for the UK senior living sector and a hugely attractive growth opportunity for us, which strengthens our European value-add portfolio. Working with Elevation, we are confident we can add value to Signature on behalf of our investors.”
According to Simon Webster, partner at Elevation, the extension of their relationship with Signature presents an opportunity to grow the brand and initiate construction on three new developments in the Greater London area. He also highlighted the expansion of their partnership with PGIM Real Estate as a means to leverage their institutional and sector expertise to expand the Signature footprint.
Meanwhile, Kay Cox, CEO of Signature, acknowledged the track record of support for operators in the senior living sector demonstrated by PGIM Real Estate and Elevation, stating, “This investment is a natural next step in our lifecycle, together with the expertise to help us achieve our ambitions and enhance our brand as a market-leading senior living provider.”
This strategic move by PGIM Real Estate not only underscores its commitment to the UK senior housing market but also represents a significant development in the senior living sector as a whole. The involvement of Elevation Advisors and the continued partnership with Signature demonstrates a unified effort to drive growth and innovation in this segment of the real estate market.