Lendlease and Canada Pension Plan Investment Board (CPP Investments) are continuing to strengthen their Build to Rent partnership in the UK – with investment in new homes in South London.
In February, the two organisations announced an £80m investment to begin construction of an 18-storey building with 118 Build to Rent homes at Elephant Park in South London. They’ve now confirmed that they’ve agreed another (approximately) £85m of investment to help fund 123 new Build to Rent homes at Elephant Park. This is the second major investment they’ve announced this year.
The partnership between Lendlease and CPP Investments was first announced in 2018 when they agreed an initial target of investing £1.5bn in the sector. Lendlease will develop, construct and manage the Build to Rent homes on behalf of the partnership. With the latest investment, both organisations will invest 50% each.
“We’re thrilled to have achieved another major milestone in our partnership with CPP Investments as we build momentum in our Build to Rent platform.
“Their investment demonstrates a vote of confidence in the Build to Rent sector in London and in Elephant Park. We look forward to continuing to develop our platform with CPP Investments and launching our first Build to Rent homes at Elephant Park later this year.”Victoria Quinlan, Managing Director for Investment Management Europe, Lendlease
The announcement means that the partnership is now planning to provide over 900 Build to Rent homes at Elephant Park. Construction is well underway on the first two buildings – with completion and launch dates to be confirmed later this year.
Within both buildings, residents who choose to rent through the Build to Rent scheme will enjoy a personalised, customer focussed renting experience, unlike any other.
Lendlease is working in partnership with Southwark Council to deliver Elephant Park – a £2.5bn regeneration project. Investment like this enables the project to continue at pace – while creating thousands of high-quality new homes including the delivery of affordable housing, jobs, business opportunities and green space for Londoners.
“The Build to Rent Sector in the UK continues to be supported by long term trends, particularly in London and other major UK cities. Private rentals are an increasingly attractive and flexible option for households.
“The Elephant Park project continues to move ahead towards completion for the first phase, and our latest financial commitment will help to progress this landmark regeneration project. It also extends our positive, broader relationship with Lendlease, which seeks to identify further investment and regeneration development opportunities in the UK.”Andrea Orlandi, Managing Director, Head of Real Estate Europe, CPP Investments