Greystar acquires BTR site in Stratford - London
Greystar and Lifestory have exchanged contracts on an attractive BTR scheme, Stratford Mill, for £20 million
Consisting of 245 units, the site is located adjacent to Pudding Mill Lane station and benefits from excellent transport links into central London
Construction on site is due to commence in the second quarter of 2024, with completion anticipated for 2026
LONDON, 16 June 2023 – Greystar Real Estate Partners, LLC (“Greystar”), a global leader in the investment, development, and management of high-quality rental housing, today announced it has acquired an attractive build-to-rent (“BTR”) site in Stratford, east London, with an existing capital partner, in the latest phase of its successful growth strategy in the UK.
The Stratford Mill site is located in the heart of the Pudding Mill masterplan, which is on track to be an exemplary piece of urban design as part of the wider regeneration of the Queen Elizabeth Olympic Park. The site benefits from existing planning consent, with the 2-acre site representing the second phase of a larger development. The first phase has been completed by UK-based developer Lifestory.
Since entering the UK market in 2013, Greystar has pursued a successful growth strategy and built a diversified, institutional-quality portfolio of rental housing across London, helping to address the acute shortage of high-quality and professionally managed-rental housing while maximising investment returns for investors.
Greystar’s proven track record of delivering sustainable regeneration sites focused on the management of communities, underpinned by good capital availability, makes it the ideal developer to execute the next phase of the site.
The well-connected site is located a short walk from Pudding Mill station and Stratford station, providing a direct route into central London. Situated in a mixed-use area, it includes a significant and diverse element of business floorspace in addition to space for up to 1,500 new homes. Stratford town centre is also in close proximity, which is home to a variety of supermarkets, independent and popular eateries, and retail amenities including Westfield Stratford.
Harry Downes, Managing Director – UK Investment, Greystar said: “This strategic acquisition presents us with the opportunity to develop an attractive site in a fast-growing, and increasingly popular, pocket of London. The process was highly competitive and is further proof of Greystar’s well-recognised reputation for delivering purpose-designed and highly amenitised buildings at scale for multifamily, young professionals and student housing. Given we have invested £11bn in the UK and have a further £2bn to invest with a current operational portfolio and pipeline of 11,000 build-to-rent homes, we are well positioned to leverage the opportunities ahead in London – a key market in our global investment strategy.”
Chris Powell, Regional Managing Director, Lifestory, said: “The sale of the second phase of Stratford Mill, a beautiful riverside site with planning consent for 245 homes, concludes a six-year journey for Anthology in Stratford and reflects a change of direction for the Lifestory Group. More than ever the residential market is bearing the weight of homeowners who are keen to downsize and have flexibility in later-life but are faced with a lack of choice.
“In line with this growing need and demand, we've decided to re-focus on delivering high-quality Build to Rent later-living products, with this sale enabling us to prioritise land purchases that support our new operating model. The popularity of the first phase of Stratford Mill suggests this development will continue to be a success, providing high-quality and much-needed homes for young professionals and first-time buyers as we concentrate our efforts on the over-60s market.”
Alex Soskin, Director in the London Development Land Team, Savills, said: “Despite the headwinds the residential development land market is currently facing, this transaction is evidence that well designed planning consents in established locations near to transport nodes remain in demand from active developers such as Greystar.”
Greystar’s teams acted on the transaction, demonstrating the extent of its real estate expertise. Savills London Development Land team acted for Lifestory.
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Greystar is a leading, fully integrated global real estate company offering expertise in property management, investment management, development, and construction services in institutional-quality rental housing, logistics, and life sciences sectors. Headquartered in Charleston, South Carolina, Greystar manages and operates more than $275 billion of real estate in 238 markets globally with offices throughout North America, Europe, South America, and the Asia-Pacific region. Greystar is the largest operator of apartments in the United States, manages more than 803,000 units/beds globally, and has a robust institutional investment management platform comprised of more than $74 billion of assets under management, including nearly $32 billion of development assets. Greystar was founded by Bob Faith in 1993 to become a provider of worldclass service in the rental residential real estate business. To learn more, visit www.greystar.com.
Savills is a global real estate services provider listed on the London Stock Exchange. Savills operates from over 700 owned and associate offices, employing more than 40,000 people in over 70 countries throughout the Americas, the UK, Europe, Asia Pacific, Africa and the Middle East, offering a broad range of specialist advisory, management and transactional services to clients all over the world.