L&G's First U.S. Ground-Up Development Takes Shape in Concord
London-based asset manager L&G has acquired part of an office park at 292-294 Baker Ave. in Concord, Massachusetts, and expects to begin construction this fall on a two-building, 201-unit multifamily development. The company announced the move Wednesday, calling it the first ground-up development it has financed in the United States.
L&G is partnering with Boston-based Taurus Investment Holdings, which spent about three years advancing the project through local planning. In March, Taurus told the Concord Select Board it intended to break ground by June; L&G now says the start will come in the fall.
The project would replace part of a vacant office campus that previously housed the headquarters of Welch's, the grape products company, before it moved to Waltham last summer. The planned five- and six-story residential buildings will sit about a half-mile from the West Concord MBTA commuter rail station, west of Concord Center. Under Massachusetts' Chapter 40B law, 25% of the units will be set aside as affordable.
L&G, which manages more than $1T in assets, is funding the development through its institutional retirement division. It expanded into U.S. real estate in 2022 and has previously financed acquisitions of existing multifamily properties in Denver and Chicago.
Why a $1T UK Asset Manager Is Building in a Wealthy Boston Suburb
Why L&G Chose Concord for Its First U.S. Build
L&G's U.S. real estate head, Alexia Gottschalch, described the deal as a milestone for the firm's U.S. platform, citing a supply-constrained Greater Boston market, strong housing fundamentals, affordability and sustainability. The announcement marks a shift for L&G from buying existing U.S. multifamily assets in Denver and Chicago to taking development risk. Partnering with Taurus reduces execution risk for a first-time U.S. developer, while the site's proximity to West Concord commuter rail gives the project a transit-oriented demand story.
The 40B Affordable Housing Trade-Off
Concord is a wealthy suburb of 18,200 residents with a median household income of about $195K. The town passed a Housing Production Plan in late 2022 and has been under pressure to add affordable units. Under Chapter 40B, developers can secure denser residential projects in communities with limited affordable housing, provided at least 25% of units are income-restricted. For L&G and Taurus, that affordability requirement is both a cost and the regulatory mechanism that makes the project viable. Concord has seen one other 40B project move forward since then: Pinebrook Group's 237-unit Residences at Thoreau.
Replacing Welch's Former Headquarters
The Baker Avenue site is a former headquarters campus for Welch's, which relocated to Waltham last summer. The developers plan to demolish some vacant offices and add parking before building the residential structures. That makes the project an office-to-residential repositioning in a corridor where transit access matters more than obsolete suburban office space, consistent with broader commercial real estate trends in Greater Boston.
What the L&G-Taurus Concord Project Means for Housing and Local Players
What the deal signals for different players in Greater Boston:
- For institutional investors: L&G's entry shows a $1T retirement platform can add U.S. development exposure by partnering with a local operator on a 40B project rather than building a development team from scratch.
- For Concord residents and officials: A fall 2026 construction start means roughly 50 affordable units are now in the pipeline, advancing the town's 2022 Housing Production Plan near West Concord commuter rail.
- For competing multifamily developers: A new well-capitalized entrant is targeting supply-constrained Greater Boston sites with transit access and affordability components, following L&G's earlier acquisitions in Denver and Chicago.
- For tenants and employers near West Concord: The Welch's office park will be converted from vacant offices to housing, adding rental supply near the station while removing obsolete office space.
Risk & Opportunity Assessment
| Commercial Risk | Medium | First U.S. ground-up development for L&G involves demolition of existing office buildings and construction of five- and six-story residential structures, creating execution and cost exposure even in a supply-constrained market. |
| Competitive Risk | Medium | The project will compete for renters with other Greater Boston multifamily developments, including Pinebrook Group's 237-unit Residences at Thoreau, which also uses the Chapter 40B framework. |
| Regulatory Risk | Low | The project is already moving through Concord planning under Chapter 40B and will set aside 25% of units as affordable, though local permits and the fall construction timeline could still shift. |
| Reputation Risk | Low | A UK firm developing near the historic Old North Bridge site may draw local visibility, but the project includes affordable housing and reuses vacant office space, which aligns with town goals. |
| Technology Disruption | Low | The residential conversion does not depend on new technology; its drivers are housing supply, transit access and affordability policy. |
| Commercial Opportunity | High | L&G is deploying retirement capital from a $1T asset base into a supply-constrained Greater Boston submarket with a local partner and a transit-oriented site. |
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