Deal Struck For Landmark Residential-Led Scheme
4/7/23
A property management company, through its joint venture with Blackrock, has acquired a residential-led development in Birmingham which will provide more than 600 homes and new commercial space.
Outpost Management has announced the acquisition and funding of a pre-approved 628-unit development at Lower Essex Square from Lower Essex Ltd – a subsidiary of Apsley House Capital Plc and Galliard Homes.
The 557,000 sq ft scheme, designed by Claridge Architects, will include 306 one-bedroom, 295 two-bedroom and 27 three-bedroom apartments for rent, with 20,000 sq ft of ground floor commercial and amenity space. It comprises three separate buildings of 27, 12 and eight storeys.
The Lower Essex Square site will be operated by Outpost Management under its Enclave brand, and is the second asset to be acquired by the firm's joint venture with BlackRock Alternatives, through its Real Estate business, which is investing £500m in UK residential assets.
Troy Tomasik, Outpost Management founder and chief executive, said: "We are proud to have acquired this fantastic development, and are excited to be bringing the Enclave brand to Birmingham as we expand our platform nationally.
"The city's undersupply of housing, projected population and employment growth, proximity to London and increasing retention of higher education graduates all contribute to making it an ideal location to invest.
"We're on a journey to transform the rental market by creating pragmatic lifestyle-enabling homes that empower our residents to live their own way, and in less than a year since we launched the Enclave brand, we now have more than 1,550 units in operation or development."
The deal follows the acquisition, development and opening of Enclave: KX in London in 2022.
Construction work will start imminently, with phased completion expected from the summer of 2025 to the summer of 2026.
James Halstead, director of BlackRock European Real Estate, said: "We are thrilled to continue our build-to-rent partnership with Outpost, driven by our joint ambition to invest in high-quality, best-in-class assets.
"As this acquisition demonstrates, we continue to see attractive opportunities in the UK residential market, particularly in high-growth areas such as Birmingham. More broadly, it aligns with our wider investment strategy of investing in sectors experiencing strong structural tailwinds."
Source; Insider Media Limited