Greystar closes in on 900-home build-to-rent purchase
US developer Greystar is closing in on a deal to buy 900 build-to-rent (BTR) flats in London, Inside Housing Living understands.
US developer Greystar is closing in on a deal to buy 900 build-to-rent flats in London, Inside Housing Living understands #UKhousingThe BTR giant is in talks to buy the homes in Elephant and Castle, south London, from Australian developer Lendlease and CPPIB, Canada’s biggest pension fund.
The deal is worth around £500m. If concluded, it would be one of the largest ever UK BTR transactions.
The homes are part of the Elephant Park regeneration scheme being developed by Lendlease, which also includes new shops and public space.
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They range from studios to three-bedroom flats and include access to amenities such as a gym, lounge and landscaped gardens.
Inside Housing Living understands that Greystar is in top position, although it is not yet in exclusivity. CPPIB declined to comment for this article. A spokesperson for Lendlease said: “We do not comment on market speculation.”
In September, Greystar bought the 595-home Barking Wharf BTR development in east London from Invesco Real Estate.
The US developer is currently ploughing capital into existing BTR schemes rather than developing new homes.
It is looking to buy existing schemes with ‘value-add’ investment and refurbishment opportunities.
London is seen as a challenging development environment and construction starts on private homes in the capital have fallen by 84% in a decade, according to consultancy Molior.
In October, the government unveiled an “emergency” policy package to spur housebuilding in London, including lower affordable housing targets and grant funding for developers.
Greystar currently has 7,200 BTR flats either operational or in delivery in the UK.
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