Developer HUB has made its first acquisitions in Leeds with two development sites comprising a £90m build-to-rent scheme and £40m office Latitude Blue.
HUB and funding partner Bridges purchased the 463-flat and 180,000 sq ft office developments spanning three acres on Whitehall Road from BAM Properties for £12m. It is their eighth deal together, as HUB seeks to expand to larger regional regenerations.
The developer has ambitious plans to grow its residential pipeline to £2bn on the back of a bullish outlook for BTR growth after Covid-19.
BAM has already completed the office Latitude Red and one acre park and has retained one remaining office development with consent for 155,000 sq ft. It previously sought forward funding for the residential element as BTR, with an expected net initial yield of 4.75%.
HUB will build out the two residential towers with BTR and for-sale and will revise the office plans with various options, including additional residential.
Damien Sharkey, managing director at HUB, said: “This scheme continues our strategy of acquiring sites in lifestyle cities – places with strong fundamentals and demand for high-quality housing.”
HUB and Bridges are on course to deliver 1,500 homes across London and recently secured major BTR funding deals with CBRE GI’s affordable fund and Realstar agreeing a £100m deal in Wembley.
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