PGIM Real Estate has agreed a deal to acquire the real estate and operations of senior living developer and operator Signature Senior Lifestyle in partnership with Elevation Advisors for an undisclosed price.
The transaction is expected to close by the end of H1 2024. The portfolio comprises 10 operational senior living communities and three consented development projects in and around Greater London.
Signature’s management team will continue to operate the homes and will focus on ensuring all assets are future-proofed through the integration of the latest technologies and standards.
It also intends to further improve the environmental sustainability of the homes across the portfolio.
Nabil Mabed, senior portfolio manager of European value-add strategy at PGIM Real Estate, said: “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. Being one of the largest real estate investors globally, we are seeing real estate markets stabilise, and we maintain our conviction in the UK following the reset in valuations over the last two years.”
Simon Webster, partner at Elevation, added: “We carefully select operating partners who are proven to create best-in-class environments, have an excellent record in care and can evidence a positive impact on their respective local communities. We are delighted to extend our relationship with Signature, who are recognised as one of the premier senior living brands in the UK, and are looking forward to growing the brand.
“Plans are underway to start construction on three new developments in the Greater London area later this year. We are also excited to expand our partnership with PGIM Real Estate and draw from their wealth of institutional and sector expertise to grow the Signature footprint.”
Kay Cox, CEO of Signature, said: “PGIM Real Estate and Elevation have a proven track record of supporting operators in the senior living sector. 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. With our amazing team and best-in-class assets combined with a strong development pipeline, we are well placed for the next stage in our growth. We are incredibly excited about what we can achieve together in the years ahead.”
