Apache Capital Partners (“Apache Capital”) and Harrison Street, one of the leading investment management firms exclusively focused on alternative real assets, are to fund a landmark build-to-rent (“BTR”) development in central Glasgow that will be delivered and managed over a long-term horizon by Moda Living, a leading UK investor, developer and operator of BTR housing.
The scheme, known as Holland Park, will see the former Strathclyde Police headquarters on Pitt Street replaced by four apartment blocks providing 433 homes for rent in total. Demolition works have already finished March 2020, with completion Q4 2023.
The investment is the fifth project in the BTR joint venture (“JV”) between Apache Capital and Harrison Street. Apache, backed by UK insurer NFU Mutual, and Harrison Street, launched the JV to deliver high quality BTR developments in core cities across the UK.
In addition to Holland Park in Glasgow, current Moda neighbourhoods being funded by the joint venture include The Lexington in Liverpool, The Mercian in Birmingham, New York Square in Leeds, and Springside in Edinburgh, representing a total of 2,322 homes.
Apache Capital and Moda Living purchased the Holland Park site in October 2016. The transaction, which was one of the largest property deals to take place in Scotland after the Brexit result, marked a clear vote of confidence in the Scottish rental market.
As well as creating new homes, Holland Park will provide 15,000 sq. ft. of internal amenities, including communal lounges and health and wellbeing zones. A further 31,000 sq. ft. of outdoor amenity space will be provided, with the four apartment buildings that form Holland Park to be set around a courtyard open to the wider public during the day. Moda residents will also have access to landscaped terraces overlooking the Glasgow skyline, while mixed commercial and leisure space will be provided on the ground floor, including cafes, bars, restaurants and co-working facilities.
Glasgow is Scotland’s most populous city and the third most populous in the UK. Major employers include banks and insurance firms such as Barclays and NFU Mutual, leading energy companies such as ScottishPower and national broadcasters including the BBC and Channel 4.
Apache Capital Partners and Harrison Street, one of the leading investment management firms exclusively focused on alternative real assets, have secured £80m debt funding to finance the construction of Moda Living’s build-to-rent neighbourhood on the site of the former Strathclyde Police headquarters in central Glasgow.
Named Holland Park, the 433-home development is the fifth investment to be brought forward in the Apache Capital and Harrison Street joint venture and will be developed and operated for the long term by Moda Living.
The four-year debt facility provided by BentallGreenOak will fund the construction and stabilisation of Holland Park. Start on-site for the first phase is due shortly, with completion expected in late 2023. Demolition work is expected to be complete in March 2021.
Prior to providing construction financing for Holland Park, BentallGreenOak had helped fund a number of site acquisitions by Apache Capital in core cities across England and Scotland. The company has also previously provided construction financing for Harrison Street and Torsion Developments’ 290-studio student accommodation scheme in Birmingham.
As well as creating new homes, Holland Park will provide 15,000 sq. ft. of internal amenities, including communal lounges and health and well-being zones. A further 31,000 sq. ft. of outdoor amenity space will be provided, with the four apartment buildings that form Holland Park to be set around a courtyard open to the wider public during the day. Residents will also have access to landscaped terraces overlooking the Glasgow skyline, while mixed commercial and leisure space will be provided on the ground floor, including cafes, bars, restaurants and co-working facilities.
Build-to-rent (BTR) as a sector has gone from pipeline to online, with the number of completed BTR homes now standing at over 43,000 according to the latest research from the British Property Federation and Savills. While many initial BTR schemes were often converted for-sale developments, a new generation of BTR developments is arriving that have been designed from the ground up purely for rent.For the investors backing the sector, the key metric in judging an asset’s performance is the net operating income (NOI) – or in other words, the rent collected minus the costs of running a building.To discuss to what extent the design of BTR schemes can make operations more efficient, and in turn, boost NOI, Blackstock Consulting brought together Assael Architecture co-founder Russell Pedley, Ringley Group managing director Mary-Anne Bowring, who has advised a number of BTR entrants, and Jamie Snary, asset management director at Apache Capital Partners, which is delivering 7,500 BTR homes across the UK with Moda Living.
One of London’s first luxury retirement villages has just completed and is promising to offer an unprecedented level of high-end living to a new generation of older people wanting to live centrally in the city.
Developed by Audley Group in partnership with Apache Capital Partners, Nightingale Place offers 94 luxury apartments and will be home to a whole suite of on-site facilities focused on physical and mental wellbeing.
Properties will range from one to three-bedroom apartments, as well as a number of penthouses, which overlook Clapham Common and sit right next to Clapham South tube station.
Homes are still available at Audley Nightingale Place and prospective owners can be given virtual tours and conduct video calls with the sales team to talk through their options in more detail until it is appropriate to offer tours of the village itself.
The first owners, who move in May, will have access not only to round-the-clock care and wellbeing services as and when they need but also, once social distancing measures allow, the 17,000 sq. ft. Audley Club, which is open to the wider community as well as Audley owners. Facilities at the Audley Club include a library, restaurant and bar, cinema, swimming pool and luxury health club. Until that point, as in all other Audley villages, owners will be supported in their social distancing, with Audley providing shopping support, meal options, online wellbeing support including nutrition and exercise plans and numerous virtual initiatives to ensure people feel connected.
Having previously acquired the site, Apache Capital brought on Audley Group to deliver the homes in 2017. Apache Capital and Audley Group appointed McLaren Construction in 2018 in a £51 million build contract to manage construction on the project and ensure that the build completed on time and met both companies’ exceptional standards.
The £125m GDV joint venture is the first project Apache Capital and Audley Group have completed together, and marks Audley’s first London retirement village.
Moda Living (Moda), the leading developer, operator and owner of private, build-to-rent (BTR) homes, and joint venture (JV) partner Apache Capital Partners, have submitted a planning application to deliver a 722-home build-to-rent development in Birmingham.
The plans were formed following extensive engagement with key stakeholders including Birmingham City Council, the Jewellery Quarter Development Trust, the Jewellery Quarter Business Improvement District, Colmore Business Improvement District, the Birmingham Civic Society, local councillors, local businesses and members of the public. Moda also held a two-day public exhibition towards the end of February which was attended by over 175 individuals.
Moda and Apache Capital’s total investment of £445m will deliver 1,200 homes in Birmingham. This will support Birmingham’s ‘Big City Plan’ and account for a massive 24% of the councils target of 5,000 new homes per year in the city.
Apache Capital and joint venture parter Moda Living, has received the go-ahead from Brighton and Hove City Council to deliver 824 homes (564 new homes for rent and 260 homes for later living) turning a rundown trading estate next to Hove Station into a thriving inter-generational neighbourhood with extensive public gardens. Plans were approved at the Council’s Planning Committee on Wednesday, 4th March. Moda will look to begin developing the site in 2021.
Working closely with Brighton and Hove City Council, significant changes were made to the submission including increased number of family homes and decreased number of studios, enhanced daylight levels and increased availability of workspace throughout the development. The decision will help address the area’s acute housing shortage – delivering 20 per cent of Hove’s five-year housing supply whilst retaining approximately 70% of the site for use as reimagined public space for the local community including landscaped areas and an abundance of newly planted trees and gardens.
Through the platform, Apache will deploy capital across the UK, with a special focus on the South East and London, where the firm finds itself more competitive after establishing a track record in the BTR segment, CEO and co-founder John Dunkerley told CoStar News.
In 2015, Apache created a joint venture with developer Moda Living to build BTR schemes across the UK. Since then, the investor has five BTR projects under construction in key regional cities. The first scheme to open to renters was the 466-unit Angel Gardens in Manchester, which is currently 75% let after opening in October last year
Apache Capital and joint venture partner Moda Living are to go live with its plans later this month to deliver a 720-home build-to-rent community in Birmingham.
Subject to planning, this will be the JV’s second site under development in the city after ‘The Mercian’, which at 42 storeys is Birmingham and the Midlands’ tallest residential tower under construction, with a further 13 stories recently being granted by Birmingham City Council. The construction of the Mercian has been financed by a £118m debt facility from Goldman Sachs, the US investment bank’s first ever UK BTR development loan.
Moda and Apache Capital will account for a total investment of £445m and 1,200 homes in Birmingham. This will support Birmingham’s ‘Big City Plan’ and account for massive 24% of the councils target of 5,000 new homes in the city.
Moda Living, a leading developer and operator of homes for rent, and joint venture partner Apache Capital have secured planning permission for the final phase of its £215m Springside development in Edinburgh. Block E, a six-storey building that will overlook Dundee Street and Drysdale Road, will include 139 high quality apartments designed exclusively for rent, ranging from studios to three-beds in size with ground floor amenity space including a lounge and co-working space. In total, Springside will provide 476 homes with 13,000 sq. ft. of internal amenities, including communal lounges, health and wellbeing facilities plus roof terraces and a private dining room with unique views of Edinburgh Castle, as well as fully managed communal gardens.
Moda and joint venture partner Apache Capital purchased the Springside site, which included 48 existing homes, in March 2017 from Grosvenor Great Britain and Ireland, one of the world’s most prestigious property companies. The deal marked one of the largest Scottish property transactions since the Brexit referendum, helping kickstart the local BTR sector. Grosvenor, one of the UK’s oldest property companies, had specifically chosen the JV for their build-to-rent expertise.
Apache Capital Partners has secured a £96m debt facility from LaSalle Investment Management to fund a £150m city centre build-to-rent development as part of their joint venture with Moda Living.
The four-year development loan from LaSalle will mature in mid-2023 and will fund the construction and stabilisation of New York Square. The deal marks LaSalle’s biggest UK BTR development loan to date and is the firm’s the fourth debt financing deal with Apache Capital, bringing the total sum lent across Apache Capital’s different investment platforms to over £250m.
The 515-home scheme, named New York Square, is one of seven that sits in the multifamily housing platform created by Apache Capital with Harrison Street Real Estate and NFU Mutual. Two of the other schemes in the platform, which is the UK’s largest privately funded, are already under construction. Apache Capital and Moda are looking to raise the bar for renting by providing tech-enabled, hotel-style service and a range of on-site amenities New York Square will include a 24-hour concierge, flexible working spaces, communal lounges and health and wellbeing facilities.