LRC Group has acquired an operational build-to-rent scheme in Harrow, north-west London, which was being marketed for offers exceeding £58.2m.
Administrators at Interpath had appointed Savills to find a buyer for the 177-home Bradstowe House scheme, which was developed in 2015. The property consists of nine storeys and is operated by Greystar.
The parent company behind the vehicle consists of three Gibraltar-based discretionary trusts called the Midway Trust, the Pyramid Trust and the Triangle Trust, according to a report filed by the administrators.
Creditor Nord Group had appointed insolvency practitioners Tim Bateson and Ryan Grant to the vehicle, Hincroft, last October.
Nord is also acting as security trustee for fellow creditor PGIM Real Estate. PGIM is owed £101.7m, while Nord is owed £24.6m.
The site generates around £4m pa in residential passing rent, reflecting an estimated rental pricing of nearly £4.5m pa with an 11.2% reversion relative to residential passing rent.
It has an average occupancy of 2.9 years, with more than a quarter of tenants renting for more than four years.
The scheme also includes 154 underground car parking spaces, garnering an annual income of £13,200.
Tim Bateson, director at Interpath and joint administrator, said: “We are pleased to have secured this transaction, which represents a positive outcome for the company’s secured creditors.
“This deal is the culmination of a significant amount of work over the past 12 months to prepare the asset for sale, alongside the diligent management of day-to-day operations, minimising disruption to tenants. We would like to thank the team at Greystar, as well as our appointed advisors, DLA Piper and Savills, for their support in reaching this successful outcome.”
Photo © Savills
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