Legal & General will deliver its largest build to rent scheme to date as it has exchanged contracts on two sites in Wandsworth.
With an anticipated gross development cost of £500m the site will provide around 1,000 homes (pictured), 35% of which will be affordable housing.
Paul Miller, managing director of principal investing at Legal & General Capital, said: “As renting continues to become a tenure of choice in the UK, the delivery of high density, high quality developments with vibrant communities is becoming more and more important.
“Our largest BTR acquisition to date is a perfect example, offering 1,000 new rental homes alongside improving the station infrastructure and offering commercial real estate space to support local businesses.”
The scheme has been acquired by the Legal & General Build to Rent Fund, PGGM and Legal & General Capital.
Mathieu Elshout, senior director of private real estate at PGGM, commented: “Our growing BTR venture with Legal & General continues to deliver on our goal to have a positive impact on the UK’s built environment over the long term.
“We are delighted to be partnering with Legal & General on this flagship scheme, delivering quality and affordable homes for elective renters.”
This comes as the demand for rental property in the UK continues to grow, having increased 34% over the last five years according to Savills.
The development will include a new entrance to the platforms at Wandsworth Town train station in the hopes of forming part of the major regeneration of the local area.
Legal & General’s first London BTR scheme, Blackhorse Mills in Walthamstow, will open in the Autumn.