Developer Select Property has launched its own lettings and rental management business.
Select Residential will provide property management and tenant services to investors and landlords. It will be led by Nick Bremner, Select Property’s head of investor relations.
Adam Price, chief executive of Select Property, said: “We’ll lean on all the experience we have from Select Property sales for Select Residential. If you look at our sales function, probably 50% of our business every year is either repeat business or referral. Whenever we launch a new project, we know the first 100 apartments we will sell to our existing network. I think that investor loyalty will come through in Select Residential too.”
The new team will support investors in finding and vetting tenants, completing contracts and handing over keys, collecting rent and helping to address tenants’ queries and maintenance needs. The business’s in-house brokerage will also manage investors’ exit strategies.
Select Property’s Three60 scheme in Manchester, brought forward by Renaker, is set to be the first building using the Select Residential platform. The 51-storey development (pictured) forms a part of Great Jackson Street masterplan, a new residential neighbourhood with communal gardens, a luxury restaurant and shopping village. The tower, designed by SimpsonHaugh, comprises 441 premium one-, two- and three-bedroom flats, car parking, bicycle spaces, gym, co-working space and residents’ lounge.
The launch follows the establishment of Affinity Living, a residential brand by Select Property that has developed, sold and managed four Manchester city centre residences, including Riverside, 1 and 2 Embankment West and Riverview, valued at a combined £313.8m.
After a phased rollout, Select Residential is expected to manage multiple flats across Select Property’s developments in Manchester and Birmingham. The company is hunting for more central sites across both cities.
“We are very passionate about Manchester,” Price said. “We have got a proud portfolio here in Manchester and we feel this market has still got a lot of room for growth. Birmingham is somewhere we are really excited about. I think the underlying market fundamentals, the supply and demand imbalance is very attractive.”
Select Property is pressing ahead with its new flagship Manchester residence One Port Street after securing a £128.5m development loan from Maslow Capital last year.
In Birmingham, the firm secured a £44.5m development finance loan from Close Brothers earlier this year to deliver an Affinity Living BTR development.
Price said: “Manchester and Birmingham are exciting for investors because of the value they see from a price-per-sq ft perspective and the rental yields that they can generate. With Select Residential, we are now seeing rental yields nearing the 8% mark.”
However, Price noted that the firm remains “very selective” when it comes to picking new sites. “We won’t go for anything. We have to make it work in terms of our appraisal. It’s challenging, but there are still good opportunities out there.”
Image from Renaker
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