A joint venture between Apsley House Capital Plc and Galliard Homes Limited has announced the forward funding of a 628-home bespoke Build to Rent (BTR) development in Birmingham, UK. It is to an established JV between BlackRock Alternatives and Outpost Management.
Lower Essex Square, in the Southside district of central Birmingham, will deliver 628 BTR apartments, including on-site affordable housing, residents’ amenity space and also affordable community space. Its three buildings will be set around landscaped gardens providing the highest quality residential spaces.
Commitment to city
Lower Essex Square is the JV’s latest residential development in Birmingham and underscores the partnership’s commitment to the city – delivering over 2,500 new homes in five years. To date, Galliard and Apsley have already delivered 379 at Timber Yard; and completions began earlier this year at the new 752-unit BTR community at Soho Wharf, forward-funded by Heimstaden Bostad.
Other ongoing projects include the recent acquisition of the former Selly Oak Sainsbury’s site, the delivery of 435 new homes at Belgrave Middleway and the mixed-use development at St Paul’s Quarter.
BlackRock Alternatives entered the BTR sector in 2021, working with Outpost Management to deliver best-in-class BTR developments across the UK. Focused on delivering convenient, efficient, service-led living to the UK rental market, the BlackRock / Outpost partnership also has one asset in London (Kings Cross).
Savills, Howard Kennedy and Gowlings advised Apsley House Capital Plc and Galliard Homes Limited and BlackRock Alternatives was advised by Simmons & Simmons, CBRE and Cast Consulting.
More exceptional homes
Gerard Nock, Chairman of Apsley House Capital Plc says of the JV project, “Birmingham is a thriving city, and we are very pleased to be delivering yet more exceptional homes for local people, this whilst bringing more global investors into the city is something we are incredibly proud of. We are actively seeking additional opportunities nationwide to expand upon the great successes we have had here.”
Polly Simpson, Head of Multifamily Development, Savills says, “This transaction, negotiated through turbulent political and economic times, is testament to the robust investment credentials of UK Build to Rent. Helping to bring together this partnership has been a great privilege and I am thrilled we could support the JV through another forward funding transaction.”
Councillor Ian Ward, Leader of Birmingham City Council says, “The news of BlackRock’s investment into the Birmingham housing market is incredibly positive news for the city, igniting a real sense of excitement for the future. With a pressing need for affordable and high-quality homes, this major step forward promises to bring much-needed new homes.
“Birmingham’s status as a top destination for foreign investment has only been further cemented by this bold move, and it’s clear that BlackRock’s confidence in this city’s potential for growth is unwavering. This is another huge step forward for Birmingham, and we can’t wait to see the positive impact it will have on the community as a whole.”
