Forsters advise on acquisition for LaSalle PRS fund
Forsters has acted on behalf of LaSalle Investment Management (LaSalle) on one of the first direct investments for its UK PRS Residential Fund.
The Fund has entered into a forward commitment to acquire 87 residential units in phase three of the Rathbone Market redevelopment in Canning Town, East London for £30 million, a gross yield of 5.2%.
The 680,000 sq ft Rathbone Market scheme is being developed by the English Cities Fund, which is a joint venture between Muse Developments, Legal and General Property and the Homes and Communities Agency. It forms part of the wider Canning Town & Custom House regeneration programme to create a new commercial district, new housing and a refreshed High Street within the Thames Gateway. Phase three is the final stage of the Rathbone Market scheme and is expected to complete in Q4 2016.
The LaSalle UK PRS Residential Fund aims to create a diversified national portfolio of residential market rental properties with a mix of income producing and new-build assets, focused on providing excellent levels of customer service. Within the next few years, LaSalle expects to invest in excess of £500 million in the residential build-to-rent market on behalf of its institutional clients, through the Fund and other investment vehicles.
Commercial Real Estate partner Ronan Ledwidge advised LaSalle, assisted by Denize Akbulut. Head of Construction, partner Sarah Cook advised on construction matters.