UK listed residential property company Grainger has been granted an exclusive option to acquire development opportunities of 100 units or more sourced by urban regeneration specialist Sigma Capital.
UK listed residential property company Grainger has been granted an exclusive option to acquire development opportunities of 100 units or more sourced by urban regeneration specialist Sigma Capital.
The partnership, for an initial four-year term, aims to create a large-scale Private Rented Sector (PRS) portfolio across the key cities of England outside Greater London, Grainger said in a statement on Monday.
Under the agreement, Grainger will assess each development opportunity individually. The company said that it has already identified a number of sites for development.
At present, Grainger expects to fully own the initial developments sourced by Sigma, although in the future it may also seek to syndicate its investment to third party investors, which could include Sigma. Sigma, in addition to sourcing development opportunities, will act as development manager on the majority of projects and will earn a profit share on each development, split into a sourcing fee and a development management fee.
Grainger is the UK’s largest listed residential property owner and manager, with £2.8 bn of residential assets under management across the UK and Germany.