Invesco launches third UK regional BTR project
Invesco Real Estate (Invesco) is partnering with Patten Properties and Panacea Property Development, the nationwide residential developers, to deliver 383 build-to-rent (BTR) units in Liverpool City Centre, in the North West of England.
The forward-funded development was acquired for circa GBP86 million for Invesco’s dedicated UK residential strategy and is expected to be build complete in June 2020.
John German (pictured), Senior Director, Residential Investments at Invesco Real Estate, says: “After completing nine acquisitions in 2017, we’re delighted to demonstrate our continued pipeline of opportunities within the BtR sector with this acquisition in a major UK regional city and the 10th acquisition for our dedicated fund. This brings to 646 the number of units we now have under construction in the UK’s North West. This not only means we are diversifying our portfolio of assets within our fund but are also excited about the opportunity to provide a “best in market” residential product for today’s rental market in one of the UK’s major regional cities.”
Neil Patten, Managing Director of Patten Properties and Panacea Property Development, says: “The scale and location of this development on The Strand deserves the best investment partner and we feel that we have found that with Invesco. We worked very closely with the Council to ensure that our plans for this important scheme were in line with their own aspirations for the site and the wider area.
“We feel that the scheme we’ve designed on the city’s historic waterfront will set a new standard for residential accommodation for the city of Liverpool. We look forward to delivering the scheme with our chosen contractor, Graham Construction.”
German says: “We are delighted to be working with Patten Properties and Panacea Property Development who we see as strong, reputable partners for our BtR programme given their 60 years’ nationwide experience in delivering complex buildings and BtR product for institutional funds. Fundamental to this partnership is ensuring that our residential units are designed and built for purpose, and that operational efficiencies exist with an on-site property manager.”
The development at 21 Strand Street is in a prime location in Liverpool with views over both Canning Dock and the River Mersey and it is within walking distance of Liverpool City Centre’s retail district and the main train station at Liverpool Lime Street. The site was purchased in 2017 with a vacant office building on site which will shortly be demolished and will be developed into 383 BTR units, with a mix of one-bed, two-bed and three-bed apartments, parking and bicycle facilities with associated residential amenities, all designed to provide a sense of community.
German continues: “In Liverpool there is appetite for purpose built, designed-for-rent residential for a growing local community where, like much of the UK, we see the average person being priced out of the owner occupation market. With Patten Properties and Panacea Property Development we have developed a product which is tailored to the local rental market and is expected to attract sharers and young professionals. There is strong tenant demand for BtR in this location given the current limited availability of rental units.”