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Lendlease Establishes S$1 Billion (US$720 Million) Innovation Partnership With PGGM

June 20, 2022 – Lendlease announced today that it has entered into an agreement with Dutch pension fund manager PGGM to create the Lendlease Innovation Limited Partnership. The S$1 billion partnership will invest in real estate assets in the innovation and life science space with a focus on Australia, Japan and Singapore. PGGM will hold an 85 per cent interest and Lendlease 15 per cent. 

Lendlease will provide services to the partnership based on the assets’ needs, which include investment management and development management. The partnership will leverage Lendlease’s expertise in placemaking by creating hubs of economic activity where innovation, entrepreneurship, creativity and placemaking intersect.

The partnership has already secured its first asset, a commercial property in Yokohama, Japan. The 12-storey freehold property is in close proximity to established clusters of high-tech, knowledge-intensive R&D and innovation operations in Yokohama’s Minato Mirai district. Minato Mirai is an established R&D and innovation hub, home to the R&D operations of companies such as Sony, Shiseido and Hyundai.

Justin Gabbani, Chief Executive Officer, Asia, Lendlease, said, “Technological advances and higher R&D spend, driven by an aging population, are signaling a growing demand for real estate hubs and development centres that are focused on research, innovation and advancing next-gen technology. The establishment of an innovation-focused investment partnership together with our long term partner PGGM is a vote of confidence in Lendlease’s position as a global real estate and investment leader. This partnership also leverages our deep expertise in the life science sector with more than 20 years’ experience. We look forward to continue building our partnership with PGGM.”