Legal & General announces that is has exchanged contracts on two adjacent sites in Wandsworth which will combine to deliver its largest Built To Rent (BTR) scheme to date. The scheme has been acquired by the Legal & General BTR Fund, PGGM and Legal & General Capital.
14 May 2019
With an anticipated Gross Development Cost of £500 million, the site will be a flagship BTR development in the UK, providing around 1,000 homes and 85,000 sq ft of commercial space. The scheme has full planning consent which includes 35% affordable housing within one of Central London’s most established and popular residential areas.
Due to the supply/demand imbalance in the local area, the latest London Plan identifies that the unmet housing need in Wandsworth has now reached a shortfall of 2,310 new homes per year. Legal & General’s new scheme will be a significant contributor to tackling this shortage, providing purpose-built rental homes with long leases for all ages, demographics and social groups.
Through the creation of a BTR asset class, Legal & General is looking to use its sources of long term capital to help address the chronic lack of housing supply and meet the increasing demand for affordable, quality rental accommodation.
This latest scheme, covering 6 acres and currently comprising home improvement outlets, will represent the first BTR scheme in Wandsworth Town. Located within Zone 2 and adjacent to Wandsworth Town train station, the development will include a new entrance to the platforms and will form part of the major regeneration of the local area.
Paul Miller, MD Principal Investing at Legal & General Capital: "This latest development in Wandsworth, our largest BTR acquisition to date, is a perfect example, offering 1,000 new rental homes alongside improving the station infrastructure and offering commercial real estate space to support local businesses."