Grainger buys £80m BTR development, Salford
Grainger has bought an £80m build-to-rent development site at Gore Street, Salford, from Euro Car Parks and the English Cities Fund.
Grainger will forward fund the project, near Spinningfields in Manchester, and UKLP Gore Street – a joint venture between UK Land & Property and Sir Robert McAlpine Enterprises – will develop the site, and Sir Robert McAlpine will also be the contractor.
The site is anticipated to complete in 2020, and will deliver 375 private rental homes through a mix of apartments and townhouses, and provide a range of amenities for residents.
Grainger has bought an £80m build-to-rent development site at Gore Street, Salford, from Euro Car Parks and the English Cities Fund.
Grainger will forward fund the project, near Spinningfields in Manchester, and UKLP Gore Street – a joint venture between UK Land & Property and Sir Robert McAlpine Enterprises – will develop the site, and Sir Robert McAlpine will also be the contractor.
The site is anticipated to complete in 2020, and will deliver 375 private rental homes through a mix of apartments and townhouses, and provide a range of amenities for residents.
Grainger said that it would generate a gross yield of around 7% once fully let. The transaction, subject to planning permission, will become part of Grainger’s secured pipeline, which currently stands at circa £500m.
Greater Manchester is a key target for Grainger’s PRS investment strategy due to its strong economic prospects and growth potential, the company said.
This acquisition builds on Grainger’s existing investments in the area of over 1,200 rental homes in the North West, and its £100m investment at Clippers Quay in Salford to deliver 614 new rental homes where construction is well under way and first completions are expected in 2018.
Helen Gordon, chief executive of Grainger, said: “We are pleased today to announce this significant £80m investment to deliver 375 new high-quality purpose-built rental homes, building on our existing portfolio in and around Manchester city centre and leveraging our operational platform and Manchester regional office.”
To send feedback, e-mail nick.johnstone@egi.co.uk or tweet @n_johnstone or @estatesgazette
