Phoenix Group commits £1bn to UK real estate debt

Phoenix Group today outlined a £1 billion allocation to UK real estate debt as part of a wider initial commitment to private markets spanning multiple private credit and equity strategies in 2024.

Phoenix Group said the £1 billion initial private markets commitment covers infrastructure equity, direct lending, real estate debt, venture capital and infrastructure debt, forming a multi-asset buildout across illiquid strategies.

Phoenix Group currently holds £1.1 billion in real estate debt assets, providing an existing portfolio base for the new UK-focused lending commitment.

Alongside the real estate debt plans, Phoenix Group is working to deploy at least £3 billion into private debt overall, covering areas including infrastructure and corporate lending.

Infrastructure Investor has separately reported that Phoenix Group is deploying at least £3 billion into private debt as part of its broader private markets buildout, aligning the programme with its long-term balance sheet investment strategy.

Within private markets, Phoenix Group is also set to commit up to £1 billion to private equity and venture capital, adding growth-oriented exposures alongside its private debt and real estate lending activity.

Phoenix Group is expected to phase these private markets allocations over time as it builds out origination and manager relationships across real estate debt, infrastructure and private equity.

--- Sources: https://www.thephoenixgroup.com/investors https://www.thephoenixgroup.com/media/oeuhp3bw/2024-stewardship-report.pdf https://www.recapitalnews.com/phoenixs-property-lending-to-shrink-amid-infra-debt-push/