A massive £250m has been raised from a Swedish pension fund towards UK Build To Rent projects.
Property development firm Oxford Properties Group, along with Delancey Real Estate Asset Management, say that their Build To Rent investment vehicle called DOOR has raised the funds from Alecta, a Swedish pension fund.
In a case study that shows the global linkage that lies behind much BTR investment in the UK, DOOR is an investment vehicle which part-owns Get Living, a BTR operator in this country.
Get Living is also part owned by Qatari Diar and APG.
The £250m will be used to invest in Get Living’s existing development pipeline and for further large-scale acquisition opportunities “as the platform pursues its ambition to become the pre-eminent UK-wide BTR provider.”
Get Living has already said it it aiming to construct up to 12,000-14,000 homes.
Currently it has approximately 3,000 homes, mainly across two London schemes at East Village, the former Athletes’ Village at Queen Elizabeth Olympic Park in Stratford, and Elephant Central in Elephant and Castle, with a smaller neighbourhood at Middlewood Locks, Manchester.
The portfolio also features approximately 1,000 homes currently under construction and a secured development pipeline of 4,000 homes, located at East Village, Elephant & Castle and Middlewood Locks, as well as two sites in the key regional cities of Glasgow and Leeds.
A statement issued to announce the investment says: “Get Living continues to target large scale development sites across the UK that comprise 400 units or more once complete to create vibrant residential-led neighbourhoods, as well as stabilised assets, forward funding and corporate acquisitions.”