PGIM Real Estate has acquired a portfolio of rental homes in the UK from Goldman Sachs Group.
The 918 single-family homes are located in 15 developments around Manchester and Liverpool.
Although the price tag was not revealed by the parties, it is known that Goldman Sachs was seeking about £190 mln (€214 mln).
The deal is part of PGIM Real Estate’s UK Affordable Housing strategy, delivering private rental housing at affordable rents for working families and co-renters, while focusing on ESG by improving energy efficiency of the homes.
Charles Crowe, senior portfolio manager of the UK Affordable Housing strategy and head of UK Investments at PGIM Real Estate said: ‘We are delighted to have made this acquisition as it ensures that much-needed rental housing is available to tenants at affordable rents, at a time of high inflation and a cost-of-living squeeze. Despite challenging market conditions, our conviction in UK single-family rental remains strong, as the sector continues to provide a mutually beneficial opportunity to deliver safe, high-quality homes for families, whilst providing sustainable income for our investors.’
Chris Semones, managing director in the real estate business at Goldman Sachs Asset Management, commented: ‘We are pleased to have concluded the sale of this high-quality, professionally managed rental portfolio to PGIM Real Estate. Continued investment in the UK housing sector is crucial to delivering much-needed supply of high-quality private rental homes. We would like to thank Pitmore for their partnership in managing the portfolio.’
With the latest acquisition, PGIM has committed nearly £300 mln (€338 mln) across 27 different housing schemes, providing over 1,500 homes.
Knight Frank advised and acted on behalf of PGIM Real Estate, while Savills acted on behalf of Goldman Sachs Asset Management.
