Member Article

Grainger acquires Birmingham-based development for £28m

Newcastle-based residential landlord Grainger has exchanged contracts with Blackswan Property Limited to forward fund and acquire a private rented sector (PRS), build to rent development in Birmingham for c.£28m.

Based at Gilder’s Yard the development comprises of 156 new purpose built PRS homes, with Grainger expecting the investment to generate a gross yield on cost over 7% once stabilised.

Blackswan Property Limited will develop the site and Shaylor, a Midlands based contractor, will construct the scheme.

Birmingham is a key target city for Grainger’s PRS investment strategy due to its strong economic prospects and growth potential, and builds on Grainger’s existing local management platform.

Helen Gordon, Chief Executive of Grainger, said: “We are pleased today to announce our latest investment in one of our key target locations, Birmingham.

“[The development] will deliver 156 new high quality, purpose built rental homes, building on our existing portfolio in and around the area and leveraging off our operational platform.”

Grainger will also be announcing its full year financial results on 30 November.