European real estate fund manager and US multifamily specialist Atlas Residential have joined forces to invest for the first time in the UK private-rented sector (PRS).
The joint venture partners have bought a 145,544sqft residential development site in Southampton from the town鈥檚 council. Rockspring is investing on behalf of separate account client.
Hampshire & Regional has begun to develop 211 apartments. The project is expected to cost 拢36m (鈧�50m) and will be delivered in several phases over the next two years, with the first phase completing in the fourth quarter of 2017.
Rockspring manages 鈧�7.9bn of capital invested in European commercial real estate, while Atlas Residential owns approximately $1.3bn (鈧�1.13bn) worth of multifamily properties in the US.
Richard Bains, partner and head of UK at Rockspring, said: 鈥淲e are combining our fund management expertise and in-depth, 30-plus-year knowledge of the UK market with Atlas鈥� exceptional experience and understanding of the operational elements of the private-rental sector business.
鈥淭he supply and demand metrics of the private-rented sector are a compelling rationale for any investor, as operational, bespoke and purpose built assets are increasingly rare and difficult to acquire.鈥�
