Moda Apache is buying one of Scotland’s largest private rented sector schemes.
The joint venture between Moda Living and Apache Capital Partners is in advanced negotiations to forward fund the £120m PRS element of EDI Group’s Fountainbridge redevelopment in Edinburgh.
The 687,000 sq ft project on the 8.2-acre India Quay site will feature 300 homes.
The site was bought from Lloyds for £15m in 2011 by EDI, which was set up by Edinburgh Council in the 1980s to build Edinburgh Park.
Yorkshire-based Moda Living formed its jv with Apache Capital Partners last year for a £1bn drive into the UK PRS. The jv will develop and operate a PRS portfolio across 10 regional cities and has a development pipeline of 5,000 homes.
It has submitted plans for an £80m PRS development at Princes Dock in Liverpool and is funding Caddick’s £150m GDV 705-home Quarry Hill in Leeds.
The deal will mark the second major PRS scheme in the Scottish capital, alongside the next phase of Grosvenor’s Springside, also in Fountainbridge, which will deliver 400 homes.
Grosvenor’s decision to push ahead with the PRS project followed a trial in the first phase which saw 46 of the 250 homes retained for rent. The company submitted plans earlier this year.
Last week, EDI unveiled new images of the Fountainbridge masterplan which include a regeneration of the old McEwan’s brewery site, offices, and a new home for the Edinburgh Printmakers studio and gallery.
More than 28,000 sq ft of shops are also planned.
JLL is acting for Moda Apache; CBRE is advising EDI.
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