L&G’s £80m Skyliner deal falls flat

Legal & General’s hopes of a first rental scheme in Edinburgh have once again been dealt a blow after it was unable to clinch a deal for the £80m Skyliner scheme. S1 Developments has launched a new hunt for a funder for the 338-home Leith Docks scheme. The site is the largest consented BTR opportunity in the city of Edinburgh and was granted consent in 2019. L&G had previously pursued a forward commitment purchase for the scheme. However, the pair failed to reach an agreement and S1 Developments has since approached a number of other funders. While L&G is understood to be pursuing a potential new deal, it is no longer in exclusive negotiations for the site. L&G’s Edinburgh debut has been long-awaited, following a number of setbacks. In 2017, it lost out on the BTR at Edinburgh Council’s Fountainbridge site, when the council and its arms-length development arm EDI opted to review options and go back to the drawing board. L&G had been in discussions to take on the 300-home rental scheme at India Quay, which had a GDV in excess of £110m. The council has since remasterplanned the site, proposing a mixed-use scheme of 435 flats and around 107,640 sq ft of offices. Last year, the council shortlisted six parties for the revamped scheme and L&G was not included. A decade after the council acquired the land, it has still yet to select a developer. L&G declined to comment. To send feedback, e-mail emma.rosser@eg.co.uk or tweet @EmmaARosser or @EGPropertyNews Photo © S1 Developments