Cornbrook Glenbrook

Barings strikes second Glenbrook PRS deal

The property investor has followed up its October purchase of The Keel in Liverpool with a joint venture agreement for the developer’s 280-apartment scheme in Cornbrook, Manchester, which is currently on site.

Barings Real Estate’s deal makes it a joint venture partner in the acquisition and development of the Cornbrook site, which represents a £57m project. Designed by Sheppard Robson, it comprises two blocks, each with 14 floors of build-to-rent apartments.

Contractor Graham is now on site for Glenbrook, which gained consent in a hybrid application earlier this year that also included outline permission for Peel to deliver a hotel and aparthotel on the adjacent plot.

In October, Barings acquired The Keel on Liverpool’s waterfront from its funder Moorfield for £46.75m. Glenbrook developed The Keel and remains involved in managing the existing building, and also as development partner for a proposed second phase of 260 apartments.

Upon completion, Cornbrook – adjacent to the Metrolink station of the same name – will consist of 280 apartments, including 93 one-bed, 172 two-bed, and 15 three-bed homes. The scheme will include a residents lounge and gardens together with a gym and yoga studio all located on the top floor of the development, with convenience retail at ground floor. Completion is expected in October 2020.

Barings is also funding the Landmark office development on Oxford Street in Manchester city centre and has provided a £34.7m mortgage loan to fund the development of the Lightbox PRS scheme at MediaCity. The investment in Cornbrook has been made on behalf of a North American institutional investor.

Ian Sherry, director at Glenbrook, said: “Glenbrook are pleased to be continuing our development of BTR accommodation in the region, having almost 1,000 homes under construction in the North West with a similar number due to start on site next year. Barings’ investment requirements for this sector and Glenbrook’s proven ability to identify and execute these transactions was a natural fit and we look forward to developing this partnership further”.

Darren Hutchinson, Barings managing director and head of UK real estate transactions, said: “Cornbrook is an especially attractive opportunity for Barings to continue our relationship with Glenbrook.

“Cornbrook is one of two major commitments to the sector this year and reflects a growing appetite for institutional investors to address the structural imbalances created by decades of under-supply in residential housing, declining average household sizes, and a significant increase in the number of people renting.”

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