KKR acquires £100m Manchester BTR development

KKR and Inhabeo have acquired a portfolio of three build-to-rent towers in Manchester from L&G for £100m. The Slate Yard comprises 424 homes across three properties, totalling 270,000 sq ft. It includes amenities such as a gym, residents’ lounges and co-working spaces. The first tower was completed in 2017, and was delivered by ECF, L&G’s joint venture with Muse and Homes England. Mark Ekinde, principal in KKR’s European real estate team, said: “Through the acquisition of The Slate Yard, we are pleased to further our presence in Manchester and continue to grow our UK residential portfolio. Catering to one of the UK’s largest and fastest-growing cities, these properties are well-placed to meet the growing demand for high-quality, yet affordable, residential real estate. “Acquiring strategically located, high-quality residential assets in major urban centres continues to be one of our main investment themes in Europe, driven by positive market trends and compelling structural dynamics.” Dan Batterton, head of residential at L&G, said: “We know there’s a critical shortage of housing supply, coupled with increasing demand for high-quality rental homes in the UK. With our recently announced partnerships aimed at creating thousands of new homes across the country, this sale will allow us to continue to reinvest in the build-to-rent sector, delivering much-needed new homes.” Ross Netherway, chief executive of Inhabeo, added: “This acquisition marks an important milestone in the continued growth of our European living sector investments with KKR, which now exceed £500m.” KKR and Inhabeo were advised by CBRE and DLA Piper; L&G was advised by Knight Frank and Macfarlanes. Image supplied by PR