Lendlease Group Completes UK BTR Sale Securing About $260m FY26 Proceeds
Lendlease completes UK BTR sale, securing ~$260m in FY26 proceeds
Lendlease has completed the portfolio recycling of its UK Build to Rent (BTR) assets to Greystar, following the Group’s earlier announcement on 11 June 2026. The completed divestment delivers cash proceeds to Lendlease of approximately $260m in FY26.
The transaction was undertaken alongside partner Canada Pension Plan Investment Board (CPP Investments), with the sale priced in line with December 2025 book value.
Settlement is set to occur before 30 June 2026, providing a near-term cash inflow that reinforces the company’s capital recycling strategy.
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Inside the Elephant Park divestment
The divestment consists of a portfolio of 904 residences at Elephant Park, London. The multi award-winning development was created in partnership with CPP Investments, with four buildings completed between 2021 and 2024.
With the urban renewal of Elephant Park now largely complete and assets fully stabilised, Lendlease and its investment partner identified an opportune time to recycle capital from the project.
The pricing outcome here contrasts with the MSG North Milan exit completed earlier in FY26, where Lendlease recognised a post-tax operating loss of approximately $175m as the cost of shedding an open-ended international liability.
| Metric | Detail |
|---|---|
| Asset | 904 residences, Elephant Park, London |
| Buyer | Greystar |
| Investment Partner | CPP Investments |
| Proceeds to Lendlease | ~$260m FY26 / ~£138m net of transaction costs |
| Pricing | In line with December 2025 book value |
| Settlement | Before 30 June 2026 |
| Segment recognised | Investments |
Additional detail on the financial treatment of the transaction includes:
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Proceeds of approximately £138m received by Lendlease, net of transaction costs, versus HY26 total carrying value of £137m.
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The transaction is recognised in the Investments segment.
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Figures remain subject to completion adjustments and foreign exchange movements.
What “capital recycling” means for investors
In this case, the asset is fully stabilised and the urban renewal largely complete. This allows Lendlease to recycle capital from the project while also delivering liquidity to its investment partner.
The transaction aligns with the company’s stated focus on supporting partners through the investment lifecycle.
The Keyton Retirement Living divestment, which brings total Capital Release Unit recycling to approximately $3.4 billion since May 2024, follows the same at-book-value pricing discipline seen in the UK BTR transaction, with all net proceeds from that sale directed toward reducing Group debt.
CEO Commentary
“We are proud to have partnered with CPP Investments on the substantial urban renewal of Elephant Park and its enduring contribution to the community,” said Penny Ransom, Chief Executive Officer Investment Management.
“We remain focused on supporting our partners and their objectives through the investment lifecycle, including delivering liquidity, returns and growth opportunities.”
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Placemaking credentials and what comes next
According to Lendlease, Elephant Park demonstrates the Group’s placemaking capabilities in the UK and its focus on sustainable living. This is evidenced by the precinct’s leading 5-star GRESB Rating and award-winning recognition.
The completed sale reinforces Lendlease’s stated intention to remain focused on supporting its partners through the investment lifecycle, including delivering liquidity, returns and growth opportunities.
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