Rise buys final tranche of £25m Depot
The build-to-rent developer has acquired the second phase of the redevelopment of the former Stagecoach depot in Moss Side from contractor Rowlinson for around £9m, after buying the first phase last year for £16m.
Rise Homes is working with housing association Mossacre St Vincent to redevelop the five-acre former bus depot on Princess Parkway in Manchester into housing. The scheme has financial backing from the British Strategic Investment Fund, which is managed by asset management firm Gresham House.
Rowlinson Constructions was appointed in 2017 as the main contractor to build the scheme by Manchester Place, a joint venture between Manchester City Council and Homes England. The council owns the freehold of the site.
Rise acquired the completed first phase of The Depot, comprising 92 apartments, from Rowlinson last year and has now brought the second phase, an additional 45 apartments. Both were leasehold transactions, and the total value of the acquisition is £25m.
The second phase is under construction after planning approval was granted in June.
Law firm Beyond Corporate acted for Rise Homes and Trowers & Hamlins was the legal representive for Rowlinson in the deal.
The wider Depot scheme also features a 78-bedroom extra-care scheme, which is complete, and 54 houses that are still under construction.
James Flynn, head of Beyond’s real estate division, said: “This is a great example of a client taking a long-term view and shows that development projects can still be successfully progressed in the current environment.”