Capital & Centric and Henry Boot Developments have agreed heads of terms with Lothbury Investment Management to forward fund the bulk of the £150m residential-led Kampus project in Manchester.
The 2.3-acre site includes the 250,000 sq ft former Manchester Metropolitan University Aytoun Street campus. Capital & Centric and Henry Boot took control of the site in early 2014.
The joint-venture partners have drawn up a scheme with around 500 homes – 80% of which will be privately rented – in a 450,000 sq ft project including the refurbishment of two Grade II listed mills.
It will be Lothbury’s first venture into the PRS, continuing a string of institutional investments into the sector led by Legal & General and LaSalle Investment Management.
The scheme will also include some office and hotel space.
Manchester city council adopted Kampus’ strategic regeneration framework in June.
CBRE advised the joint venture.
