Residential property owner Grainger has acquired its first build-to-rent scheme in Barking.
The transaction, coducted via its agreement to purchase 100 units as part of a regeneration scheme in Barking town centre, is being developed and carried out by Bouygues Development.
Grainger will pay a total consideration of £13.7m, with an initial deposit and the balance of the payment due on practical completion in 2015.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Separately, the company also announced that, as development partner for the Defence Infrastructure Organisation and the HCA, it had submitted a major planning application to Rushmoor Borough Council for the 255 hectare former Aldershot Garrison site, known as Wellesley or the Aldershot Urban Extension.
Nick Jopling, Executive Director for Property at Grainger, commented on the Build-to-Rent acquisition: "Our acquisition of this Build-To-Rent block from Bouygues is a significant milestone for the private rented sector, putting into place a new template for the creation of purpose built high quality and professionally managed rental accommodation.
"This is a sector that desperately needs to grow in order to meet the demands of the UK population and is supported at the highest levels of Government, and we believe that this style of residential development has huge potential to grow in the coming years."
Nationwide: UK house prices creep up by 0.2% - are we heading for a rebound?
Nationwide’s latest house price index shows property prices inched up by 0.2% as demand warms up - will this trend go into 2024?
By Kalpana Fitzpatrick Published
December 2023 NS&I Premium Bond winners revealed - have you won the jackpot?
Two Premium Bond holders are now millionaires as NS&I reveals December winners. Find out if you’re one of them
By Vaishali Varu Published