Sterling Property Ventures and Birmingham city council have teamed up with London-based Long Harbour who will fund and operate the £55m Great Charles Square residential development in the city – which will be Birmingham’s first institutionally backed PRS scheme.
The deal marks both Long Harbour’s first investment in Birmingham and its first develop to let scheme. Long Harbour will operate and manage the homes for rent.
A planning application for 350 flats, 100 residents parking spaces and 20,000 sq ft of ground floor retail and leisure space will be submitted in September.
At the same time, outline planning consent for the scheme’s commercial element – an office development of 250,000 sq ft – is also being sought. The commercial element is likely to be funded separately. Outline planning permission will be sought for this office phase in September 2015.
The scheme forms part of the wider Snowhill masterplan and benefits from enterprise zone status.
The two-acre Great Charles Street site is owned by Birmingham council and is currently a surface pay-and-display car park. Adjacent to Snowhill Station, the site, which fronts Great Charles Street (A38) and is bounded by Ludgate Hill, Lionel Street and Livery Street, in the Jewellery Quarter conservation area.
James Howarth, managing director of Sterling Property Ventures, said: “This scheme has been two years in gestation. There are still a lot of details to resolve, but getting funders on board is a significant milestone and means that as soon as we have planning permission we can move off the drawing board and on to site.”
Rebecca Taylor, Long Harbour’s investment and development manager said: “Birmingham has been identified by Long Harbour as a target area for develop to let opportunities. The opportunity to partner with Sterling and Birmingham city council makes Great Charles Square an exciting first investment in Birmingham for our fund.”
Work is due to start on site in January 2016, with the flats available to rent from early 2018.
Knight Frank advised Sterling Property Ventures on funding and has been retained to advise on both the residential and commercial schemes going forward. Pitmore advised Long Harbour.
A team of advisers has also been appointed to advise on the scheme, including architect AHR; planning consultant Turley and project manager Gleeds.
