Grainger and APG are to forward fund and acquire a 132-home PRS project in Southampton.
Their GRIP REIT has bought the scheme on East Street from National Regional Property Group for £27m, which reflects a gross yield of over 6.5%.
National Regional Property Group will develop the site. Grainger will also receive management fees.
GRIP REIT, which focuses on PRS in London and the South East, is 25% owned by Grainger and 75% owned by APG. Grainger is the property, asset and development manager for the REIT.
Helen Gordon, chief executive of Grainger, said: “Southampton is a target location for Grainger and this scheme on East Street will deliver 132 new high-quality, purpose-built rental homes and allow us to utilise our operational base in Hampshire.”
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