Watkin Jones has forward-sold a 397-bed purpose-built student accommodation development with workspace and commercial units in east London to Lloyds Banking Group’s Housing Growth Partnership.
The deal for the Grove Crescent scheme in Stratford is Watkin Jones’ first with HGP, completed through a joint venture. The developer expects to make £96m over the three-year deal. The development should be ready for the 2026/27 academic year.
Once complete, the pair will sell the scheme.
Alex Pease, chief executive officer at Watkin Jones, said: “We are pleased to collaborate for the first time with Housing Growth Partnership on this exciting development. The innovative nature of the transaction underlines Watkin Jones’ ability to find attractive structuring solutions for our institutional partners.
“While we remain encouraged by signs that confidence is returning to our residential for rent funding markets, this is tempered by continued uncertainty around the trajectory of interest rate cuts. We, nevertheless, have a number of schemes in the market which are generating good levels of interest.”
Savills advised Watkin Jones.
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