The Universities Superannuation Scheme (USS) is in talks with Butlins to buy into the holiday camp operator’s real estate assets in a deal worth £300m, Sky News has reported.

According to Sky News, the investment arm of USS, USS Investment Management, is nearing an agreement that would effectively result in the scheme being Butlins’ ‘landlord’.

Butlins’ owner, Bourne Leisure Group, is also in discussions with a potential buyer for the holiday camp firm’s operating business, insiders told Sky News.

Bourne Leisure and owner Blackstone had decided to put Butlin’s up for sale after deciding that it did not fit in with the rest of its hotel and holiday camp chains.

Other bidders, such as Queensgate Investments, TDR Capital and Terra Firma Capital Partners, have dropped out of the bidding process in recent weeks, while it was unclear whether other parties that had expressed an interest, Bain Capital and Epiris, were still in discussions.

Furthermore, it remained unclear whether the USS was in exclusive talks about the property transaction.

When contacted by Sky News, USS and Blackstone declined to comment.

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