Europa Capital acquires Crown Works BTR development

Europa Capital announces it has entered the Birmingham market with the acquisition of the Crown Works Build to Rent development.

Crown Works Build to Rent development, Birmingham - Europa Capital | BTR News
Crown Works Build to Rent development, Birmingham.

Pan-European real estate investment manager – Europa Capital – announces today that is has entered the Birmingham market with the acquisition, through a forward funding agreement, of Crown Works, a new Build to Rent development adjacent to the city’s central business district. Europa Capital has made the acquisition on behalf of its value-add fund, Europa Fund VI.

The seven storey Crown Works building has been designed to a high specification, comprising 203 Build to Rent homes – a mix of one, two and three bedroom apartments across c. 138,000 sq ft of space. The scheme will also include 5,900 sq ft of flexible amenity space for a gym, co-working space, private dining and concierge services. There is also a private residents’ roof terrace offering panoramic views of Birmingham’s skyline, private roof terraces for three duplex penthouse apartments, and two ground floor retail units totalling 3,700 sq ft.

Crown Works apartments are expected to achieve an EPC rating of B, will will benefit from access to green energy through the installation of c. 2,400 sq ft of roof top solar PV panels. The commercial units are expected to receive a BREEAM Excellent rating. Construction is expected to start imminently, with practical completion expected in Q1 2024.

Situated on Hanley Street, 400 metres from Birmingham Snow Hill train station, Crown Works is within walking distance of Birmingham’s growing CBD and entertainment district, which has seen the recent development of Grade A offices, homes and improved public spaces.

“The lack of supply of high quality rental accommodation remains a UK wide problem, with ongoing buy-to-let mortgage redemptions continuing to exceed Build to Rent completions. This is our first foray into the Birmingham market, which, as the UK’s second largest city and with a burgeoning young population – thanks largely to being home to one of the country’s leading universities – is an attractive location for this type of residential product. A number of blue-chip companies have also chosen Birmingham as their regional hub, reflecting the role the city has to play in the levelling up agenda.” 

Hugo Black, Partner, Europa Capital

This acquisition is in line with Europa Capital’s strategy to grow its vertically integrated Build to Rent platform in the UK following acquisitions in London, Manchester and Sheffield, increasing the total number of apartments to over 1,600. 

As one of the early institutional movers in the residential market, Europa Capital has a 10 year track record in the living sector, having invested over £1bn to deliver over 10,500 beds across student housing, Build to Rent and senior housing sectors in the UK, Spain, Denmark and Germany. 

“Against the current economic backdrop and rising inflation, Build to Rent offers institutional investors a good hedge, whilst being more resilient to structural change than other asset classes. This latest investment follows close on the heels of our recent acquisition of a 161 apartment Build to Rent development on Bendix Street in Manchester, as momentum continues to build behind our growing UK Build to Rent platform.”

Jason Oram, Partner & Fund Manager, Europa Capital