Legal & General said it has continued to develop its alternative finance, housing and urban regeneration activities through Legal & General Capital by expanding its network of strategic partnerships.
In its first-quarter interim management statement, L&G said total direct investments across the principal balance sheet increased 62% to £6.3bn (Q1 2014: £3.9bn) including £0.4bn of new direct investments in the period.
L&G said it obtained planning permission for 1,000 homes in Crowthorne, Berkshire, and entered the UK private rented sector by acquiring a regeneration site at Walthamstow in the first quarter of this year.
The insurer has also committed £100m, matched by the Schroder UK real estate fund, to the regeneration of Bracknell town centre, also in Berkshire, and completed the purchase of a 50% interest in the Peel Group's MediaCityUK scheme at Salford Quays in Manchester.
L&G is also working with the UK government's Regeneration Investment Organisation: the group will allocate up to £1.5bn to invest in urban infrastructure projects alongside capital from international investment partners.
The insurer noted, "We continue to take advantage of the significant investment opportunities presented by bank deleveraging," adding that its pan-European SME lending business, Pemberton Asset Management, has completed £60m of loans.
At Legal & General Investment Management (LGIM), total assets increased 17% to £736.8bn in the first quarter (Q1 2014: £630.9bn).
But total net inflows at £2.6bn were well down on £9.0bn achieved in the first quarter of 2014. Within these, external AuM net flows were £4.3bn (Q1 2014: £6.6bn), driven by continuing "client appetite for LGIM's de-risking capabilities, our workplace proposition and retail funds."
Nigel Wilson, group chief executive, said, "The group is benefiting as we leverage our leading position in pension de-risking, selectively expand our international footprint in the US and Asia, and invest in the future success of the UK through our partnership in Media City in Salford and entry into the private rental sector in 2015."