Swedish occupational pension fund Alecta is investing nearly EUR 100m in a building project in central London. The construction of the climate neutral property will commence in July and is expected to be finished in 2026.

Alecta is investing alongside real estate fund WELPUT and other, unnamed co-investors. The real estate fund is managed by BentallGreenOak, a company that Alecta has owned shares in for 15 years and where it is currently the majority owner.

The property will be located on 105 Victoria Street and will be built without fossil fuel use. Once completed, it will function exclusively through renewable energy sources, according to Alecta.

“We expect increased demand for green offices in London in the short term and we want to create good conditions for companies to meet their climate goals through these kinds of investments. It’s an innovative investment that generates value and will provide good long term returns for our pension savers,” Alecta Head of Real Assets, Frans Heijbel, says in a statement.

The building will have 13 floors and a 3,500 square meter green area which will be a part of an “urban farm,”, according to Alecta.

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