BTR and PBSA developer, Watkin Jones, has announced that contracts have been exchanged for the sale of Hove Gardens, a build-to-rent scheme in Hove.
The transaction is being forward funded by Legal and General Investment Management [LGIM] on behalf of its Legal & General Retirement (LGR) business, for approximately £76.5 million.
Scheduled for completion by July 2023, the 216-apartment development on Ellen Street near Hove Station is being delivered in partnership with contractor RG Group. It will include 31 studios, as well as one-, two- and three-bed apartments, cycle spaces, basement car parking spaces, and space with potential to provide a gym and home working spaces.
Once completed, the residential accommodation will be rated Home Quality Mark Level 3 with the commercial space achieving BREEAM Excellent.
The new BTR scheme at Hove Gardens has unconditional planning and is located on a one-acre site, which will also accommodate four light industrial units, ranging from six to 18 storeys in height.
Alex Pease, chief investment officer at Watkin Jones, said: “We are delighted to have secured institutional investment with LGIM for this exciting scheme. Watkin Jones has a strong track record of development in the South Coast having completed a sizeable PBSA development in Brighton back in 2013.
“Hove Gardens is our first BTR development here and we are really excited as Brighton and Hove is one of the UK’s most dynamic cities. Not only does it offer excellent employment opportunities, with tech being the fastest growing sector in the city, but it also offers wide range of bars, shops and restaurants combined with a thriving music and arts scene making it a fantastic place to live and work,” he added.
Mike Powell, senior transactions manager for LGIM, said: “The completed development will be the first of its kind in Hove transforming a warehouse brownfield site into a vibrant new place whilst helping to tackle the city’s shortage of housing. LGIM Real Assets has over 5,000 homes across 15 schemes in the UK, bolstering Legal & General’s continued commitment to the regions, the levelling up agenda, and the growing strength of regional hubs across the UK.”
So far this year, LGIM Real Assets has welcomed the first residents at its Mustard Wharf schemes in Leeds and Box Makers Yard in Bristol, while completing the final phase of The Slate Yard in Salford.
In addition, the company has committed over £150 million in investments to developments in Birmingham and Leeds.
LGIM Real Assets’ portfolio has exceeded £2 billion in value and continues to grow, with a pipeline to deliver a further 7,500 homes in the next four years.
