Embargoed until 7am 15th January 2018
Select Property Group has today announced the completion of a landmark residential build to rent funding deal with the Greater Manchester Pension Fund (GMPVF) and consortium of senior lenders: NatWest, Lloyds Bank Commercial Real Estate and Greater Manchester Housing Fund.
The joint venture formed will fund the development of Select’s £247m Affinity Living buildings alongside public realm works at Circle Square in Manchester. Work has started on site with construction partner John Sisk & Son Limited.
This marks a significant step forward for the Circle Square neighbourhood, which is set to reshape Manchester’s cultural and business scene.
Affinity Living at Circle Square consists of 683 apartments across both 37 and 17 story buildings, as well as shared lounge areas, co-working spaces, supersized gyms and private entertaining spaces. The buildings have been designed using Select’s ethos of creating apartments people want to live in, together with social spaces that are seen as an extension of their living space.
Talking about the announcement, Mark Stott, CEO of Select Property Group, said: “This marks a great start to the year for the Group and a huge milestone for both Affinity Living and Circle Square.
“We are delighted to be working with such strong and dedicated partners in Greater Manchester Pension Fund, NatWest, Lloyds Bank and the Greater Manchester Housing Fund and I now look forward to seeing the progression of the scheme over the coming months and years.”
Gareth Conroy Associate of GVA, the investment manager for the Greater Manchester Property Venture Fund, commented: “This is a key residential project in the city centre which continues GMPVF's drive to invest in housing projects in Greater Manchester. Given the commencement of other construction activity in the office, hotel and parking elements of Circle Square, we soon expect it to be one of the most sought after destinations in the city. GMVPF look forward to working alongside Select and other investors to deliver this exciting project.”
Andy Clarke, Relationship Director for the NatWest Real Estate Finance team in Manchester, said: “We are excited to be involved in delivering such a strategically important site at Circle Square, Manchester with Select.
“Select, via their Affinity Living brand, will not only provide a high quality standard of living accommodation that Manchester requires but it will also help deliver a vibrant community for those wanting to live in the city centre. We believe that purpose built to rent homes have an important role to play in increasing and diversifying the choice that people have when choosing a place to live and we’re committed to supporting this growing market.
“We are looking forward to working with Select to deliver their future business growth aspirations.”
Allan MacKenzie, Head of Scotland & the North for Lloyds Bank Commercial Real Estate’s Private Groups team, added: “Build-to-Rent will play a pivotal role in providing the housing infrastructure the city’s economy needs to maintain its impressive growth of recent years. Circle Square will become a vibrant new city centre neighbourhood and we’re both excited and proud to be supporting it.”
Greater Manchester Combined Authority, Lead Chief Executive for Housing, Planning and Homelessness; Steve Rumbelow, said: "We are pleased to be working with other major funders to support the Joint Venture to progress this important and exciting scheme"
The first phase of Affinity Living on the scheme will complete in Q4 of 2020, with full completion scheduled for Q1 2021.