15 Jan 2025

Legal & General Acquires 350-Unit Arkadia West Loop Apartment Building in Chicago

Deal represents first US multifamily transaction for its Institutional Retirement business as part of strategic move to internationalize its property portfolio

Chicago, IL (January 15, 2025) – Legal & General (‘L&G’) through its dedicated US investment arm has acquired Arkadia, a premier apartment building located in the West Loop neighborhood of Chicago. This strategic purchase for its Institutional Retirement business marks a significant addition to the portfolio and underscores L&G’s commitment and track-record of investing in high-quality real estate assets on a global scale.

Constructed in 2015, Arkadia is a 35-story luxury apartment building renowned for its modern amenities and prime location. The development benefits from close proximity to the Fulton Market office submarket with a strong employment base, and the University of Illinois Chicago and Illinois Medical District which provide cyclically resistant demand. The development further enhances the firm’s presence in the Chicago real estate market and exemplifies its dedication to uncovering exceptional, long-term investment opportunities and superior value for clients.

Having announced a strategic partnership in October last year, L&G worked with Taurus on the acquisition of Arkadia and will continue to work alongside the firm, and Taurus’ strategic energy affiliate EcoSmart Solution, to execute real estate and decarbonization strategies to enhance value at the property.1 This collaboration seeks to deliver the highest standards of service and efficiency, taking a sustainable and responsible approach to deliver long-term value for stakeholders.

Alexia Gottschalch, Head of US Real Estate Equity, Asset Management, L&G:

“We are thrilled to add Arkadia to our portfolio, which we believe represents an excellent investment opportunity offering both stability and growth potential. Our team is committed to identifying and acquiring assets that meet the highest standards, and this acquisition is testament to our progress and continued momentum in deepening our capabilities in US real estate and achieving scale for the Private Markets platform.”

Roman Hederer, Head of Investments (Mortgages, Housing and Risk Sharing), Institutional Retirement, L&G:

“This investment is an important milestone in our strategic vision to internationalize our property portfolio beyond the UK’s town and city centers. We have a long track record of investing in socially and economically useful developments that deliver both strong returns to back our pension promises and positive local impacts. We are proud to bring this approach to one of the most dynamic cities in the US.”

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Further information

Media contact:

Carolyn Gasbarra
Edelman Smithfield
Carolyn.Gasbarra@edelmansmithfield.com
O: 630.220.0017

Notes to editors

1 Legal & General Investment Management United States (Holdings), Inc. has a minority stake in Taurus Investment Holdings, LLC.

Legal & General’s Asset Management division

L&G’s Asset Management division is one of Europe’s largest and a major global investor across public and private markets, with £1.122 trillion* in assets under management.

The division combines deep expertise in asset management and origination with global distribution capabilities to deliver positive outcomes for our clients, which include individual savers, pension scheme members and global institutions, investing alongside L&G’s own balance sheet. As a global investor, we are present where our clients need us – from Hong Kong and Singapore, to major European financial hubs, to Chicago – operating under the Legal & General and LGIM brands.

We provide investment solutions across the full spectrum of asset classes, ranging from index-tracking and active funds to liquidity and liability-based risk management strategies. Through our private markets platform, we utilize our rich heritage and extensive network of partners to offer access to a wide range of purposeful alternative investment opportunities, including specialist real estate, clean energy, infrastructure, venture capital, unlisted equities and private credit.

Our division is underpinned by our enduring commitment to responsible investment, dedicated to creating long-term, sustainable value for our clients and partners.

*Legal & General internal data as of 30 June 2024. The AUM disclosed aggregates the assets under management of Legal & General Investment Management Limited (“LGIM”), a London-based investment adviser authorized and regulated by the U.K. Financial Conduct Authority, Legal & General Investment Management America, Inc. (“LGIM America”), a Chicago-based investment adviser regulated by the U.S. Securities and Exchange Commission, Legal & General Investment Management Asia Limited, a Hong Kong limited company licensed with the SFC, and LGIM Singapore Pte. Ltd., a Singapore company holding a capital markets license for fund management issued by the Monetary Authority of Singapore (data as of July 2023). The assets under management excludes assets of other affiliated and minority-owned entities within the Legal & General Group.

Legal & General’s Institutional Retirement division

Institutional Retirement works with trustees and sponsoring companies of defined benefit (DB) pension schemes of all sizes to settle their pension obligations and secure scheme members’ benefits, through a full range of buy-ins, buyouts and other de-risking solutions. Our Client Services’ 12-month rolling Net Promoter Score (NPS) is above +70, which is widely regarded as being at a “world class” level. Legal & General is the UK’s longest-standing active bulk annuity provider.

Our UK Retirement annuity book stands at an estimated £86.1 billion at 31 December 2023. Across the group over £30 billion is invested in direct investments that deliver positive social and environmental impacts, such as clean energy and affordable housing. Legal & General provides income and pension security to more than a million retirement customers around the world.

Disclosures

This material is intended to provide only general educational information and market commentary. Views and opinions expressed herein may change based on market and other conditions.  The material is for informational purposes only and is not intended as a solicitation to buy or sell any securities or other financial instrument or to provide any investment advice or service. Legal & General Investment Management America, Inc. does not guarantee the timeliness, sequence, accuracy or completeness of information included. Past performance should not be taken as an indication or guarantee of future performance and no representation, express or implied, is made regarding future performance. 

Certain of the information contained herein represents or is based on forward-looking statements or information, including descriptions of anticipated market changes and expectations of future activity. Forward-looking statements and information are inherently uncertain and actual events or results may differ from those projected. Therefore, undue reliance should not be placed on such forward-looking statements and information. There is no guarantee that LGIM America’s investment or risk management processes will be successful. 

Unless otherwise stated, references herein to “LGIM”, “we” and “us” are meant to capture the global conglomerate that includes Legal & General Investment Management Ltd. (a U.K. FCA authorized adviser), Legal & General Investment Management America, Inc. (a U.S. SEC registered investment adviser) and Legal & General Investment Management Asia Limited (a Hong Kong SFC registered adviser). The LGIM Stewardship Team acts on behalf of all such locally authorized entities.