Trowers & Hamlins advises Apache Capital on major build to rent deal in Scotland
International law firm Trowers & Hamlins is pleased to have advised long-standing client Apache Capital Partners LLP (Apache), the London and Gulf-based real estate investment management firm, on the purchase of the site at Fountainbridge in Edinburgh city centre worth £215m.
Apache and joint venture partner Moda Living Ltd have purchased the site from Grosvenor Britain & Ireland, with plans to develop 525 homes for rent and manage 48 existing private rented homes. The development will convert what has been long term derelict land into a range of residential units including leisure facilities.
The project will be Apache and Moda's second in Scotland following the purchase of the former Strathclyde Police headquarters in Glasgow last year and represents one of the largest residential development deals in Scotland for several years.
The purchase comes hot on the heels of other significant schemes for the the joint venture partners in Manchester, Liverpool and Birmingham forming the largest pipeline for any build to rent developer in the UK with a gross development value of over £1 billion.
Trowers & Hamlins Corporate partner Nick Harrisingh, who led the deal team advising Apache, added: "It is pleasing to see Apache and Moda Living add this significant site in Edinburgh to their portfolio. We continue to advise Apache on their large scale property deals such as this, and this project reflects the ambitious plans Apache has in the real estate market."
Richard Jackson, Co-founder and Managing Director of Apache Capital Partners, said:
“Located in the heart of Edinburgh within an established regeneration area, this site matches our previous acquisitions and is perfectly in-line with our strategy of delivering best-in-class PRS developments in prime city centre locations around the UK. We are committing to delivering substantial premium product in Scotland’s domestic markets as the supply/demand fundamentals are still prevalent post-Brexit and further underlines the defensive nature of PRS as an attractive investment in times of economic or political uncertainty, with its ability to generate long term, stable and diversified income streams."
“The acquisition of Springside, is the seventh site that we have secured and under control in our JV with Moda and we have significant capital available to continue expanding our platform and to acquire and fund further sites.”
Nick Harrisingh advised on structuring and corporate aspects with tax advice provided by partner Michael Surry.