Leading partner for global real assets – PATRIZIA AG – has completed the forward purchase of a 16 storey, 102-unit Build to Rent residential tower development in West London for €45m (£40.3m) on behalf of one of its institutional clients – increasing PATRIZIA’s European residential portfolio to over €12.7bn.
Once the scheme is completed in spring 2021, the 6,800 sqm tower – which is part of the Regency Heights development in Park Royal – will include a mix of one, two- and three-bedroom Build to Rent apartments across 16 floors.
“There is a big demand imbalance of affordable residential housing which is expected to persist for the foreseeable future, in the UK. Plus, investors are likely to increase their allocations to residential assets, as an attractive substitute for currently low yielding fixed income.
“In addition, rent collection in the residential sector has remained robust throughout the Covid-19 pandemic and we are confident that this latest investment in London will deliver strong, reliable returns to our investors.”Phil Irons, Head of Transactions for the UK and Ireland, PATRIZIA
Regency Heights is being developed on the edge of one of London’s biggest regeneration zones. Park Royal benefits from excellent transport links into the city centre via two London Underground lines and its proximity to major roads into central London.
PATRIZIA has been active in the residential space for 36 years and is the leading independent manager of residential property in Europe. The company employs over 800 professionals at 24 locations worldwide – and through its PATRIZIA Foundation, is committed to social responsibility.
“What sets us apart in the residential space is that we operate and manage many residential assets ourselves thanks to our local experts on the ground.”Phil Irons, Head of Transactions for the UK and Ireland, PATRIZIA