JV Launched To Build 1,000 BTR Homes
24/7/23
A joint venture has been launched with the aim of building 1,000 build-to-rent homes at a four-acre regeneration site in Birmingham with a gross development value of £400m.
Aviva Capital Partners, Aviva's capital unit investing in real estate and infrastructure projects, has entered into a joint venture with Moda Living, a developer and operator of rental communities in the UK.
The partnership will invest in a site in Digbeth for 1,000 BTR apartments. The site was purchased from Gallagher Developments Ltd and Court Collaboration. The brownfield site, to be called 'Stone Yard', is a short walk from Birmingham New Street Train Station and will be close to the forthcoming HS2 station.
Marking Aviva Capital Partners' first move in the BTR sector, the JV will look to assess further large scale regeneration opportunities in the UK.
John Cummins, chief executive of Aviva Capital Partners, said: "Birmingham is a fantastic city which we are delighted to be investing in. New, high-quality accommodation is vital for Birmingham to continue to thrive and meat its undoubted potential.
"Aviva and Moda are developing approximately 1,000 high-quality homes right in the centre of the city, which will boost the local economy and support the UK's ambition to develop attractive and environmentally friendly living spaces in our cities."
The homes will be completed and operated by Moda Living and be accompanied by a range of amenities and green spaces.
Tony Brooks, managing director at Moda Living, added: "Partnerships like this are an important part of the solution to the UK's current housing crisis, facilitating major brownfield regeneration into thousands of new, sustainable homes.
"Stone Yard promises to feature not only our unparalleled resident experience and excellent customer service, but also social value initiatives and investment in skills and training that will benefit the local community for many generations to come."
Sir Tony Gallagher said: "Stone Yard is great news for inward private investment into Birmingham and it will be the first big private sector development coming forward in the Digbeth area."
Speaking of the sale, Anthony McCourt, chief executive of Court Collaboration, noted: "We're incredibly proud of securing planning for Stone Yard back in 2020, a truly game-changing scheme with a GDV of upwards of £300m.
"It's going to be first out of the blocks in Digbeth as the area really begins to flourish following the Metro extension. We look forward to seeing it progress in Moda's very capable hands and as always, proud of what our JV with Sir Tony Gallagher is delivering for our great Second City."
Source; Insider Media Limited