Acting on behalf of Greater Manchester Pension Fund (GMPF), Schroders Capital has acquired a 59-bed care home in Kingston for £14.2m. 

This marks the fifth acquisition for GMPF over the past 12 months, with investments totalling £130m, generating an average yield of more than 6% based on the gross acquisition prices. 

The latest purchase is for Sherwood Grange Care Home in Kingston Vale, which is run by Care UK.

According to IPE Real Estates, "The acquisitions have recycled proceeds from the sale of 3-8 Whitehall Place, a 95,000sqft office in London, sold for £155.25m in July 2022, reflecting a net initial yield of 3.5%".

IPE writes: "The sale of Whitehall Place and redeployment of the capital raised has allowed GMPF to capitalise on the cyclical buying opportunity in the UK commercial real estate market, following a price correction of approximately 25% between June 2022 and June 2024, the team at Schroders has said. 

"Philip Scott, fund manager for GMPF at Schroders Capital, said: "Exiting 3-8 Whitehall Place at the peak of the market in the summer of 2022 has provided a fantastic opportunity to capitalise on the cyclical buying opportunity in the UK commercial real estate sector with our reinvestment strategy.

"Over the past 12 months, we have deployed the sales proceeds into our key conviction sectors and significantly boosted both income and total returns from the portfolio. We have significant further funds to invest in 2025 and look forward to building on this momentum.""