LaSalle Investment Management is in negotiations to acquire the largest development of private rented homes yet seen in Birmingham.
The UK-based fund manager is under offer to buy 600 homes in Nikal’s redevelopment of Exchange Square, on the site of the former Masshouse Circus traffic island.
LaSalle is understood to have agreed to pay more than £90m for the scheme in its second UK PRS transaction since the firm announced its intentions to establish a £1bn platform earlier this year.
Exchange Square is the second and final phase of the redevelopment of the traffic island site, which was demolished in 2002.
The previous Hive and Masshouse towers delivered 340 homes for the private market.
Nikal received planning permission for Exchange Square in 2012 for three buildings totalling 750,000 sq ft, of which more than 650,000 sq ft was to be offices, alongside a hotel or smaller residential scheme.
However, in a revised application in 2014, it was granted permission to significantly ramp up the residential component of the scheme.
The proposed development is close to the Bullring and set to benefit from the planned HS2 station in Curzon Street.
