Grainger in £77m Birmingham rental project deal
Grainger
224.50p
16:35 03/01/25
Listed private residential landlord Grainger on Tuesday said it had agreed to forward fund and acquire a 373-home rental development at Exchange Square in Birmingham for £77m.
FTSE 250
20,591.40
17:00 03/01/25
FTSE 350
4,534.15
16:54 03/01/25
FTSE All-Share
4,490.88
17:14 03/01/25
Real Estate Investment & Services
2,418.80
16:54 03/01/25
Grainger expected the investment to generate a gross yield on cost in excess of 6.5% once stabilised, with completion anticipated in 2022.
The scheme, to be developed by Nikal, will form part of a new urban village at Exchange Square, directly opposite the Birmingham HS2 Curzon Street station.
The deal is subject to the developer securing planning consent among other conditions and Grainger said it expected this to be completed in mid 2019 and construction will start.
In a separate announcement, Grainger said its seven-for-15 rights issue to help fund its £396m purchase of GRIP REIT was 96% subscribed.