The government’s build-to-rent initiative is behind several privately financed schemes which appear to be gaining traction and have the potential to transform the supply of privately rented housing in some areas of shortage, particularly parts of London and the south east.
Last year, Criterion Capital announced a major strategic push into the private rented sector (PRS) with funding from Barclays, HSBC and RBS.
As reported by Paul Norman of Co-Star Daily News Criterion Capital has committed to delivering 1,557 private rented sector (PRS) homes in former office blocks in 2015.
The London-based asset manager that identifies, acquires and manages real estate on behalf of long-term investors is appointing Longcross, HOC, JJ Rhatigan and RGB as contractors on schemes at Basildon, Colliers Wood, Croydon and Sutton.
Criterion Plan to deliver the completed units by December 2015 and work is now underway across all the schemes to convert existing office buildings into residential developments offering one, two and three-bed apartments for private rent.
The finished units will be operated under the Miflats brand, which will offer additional services and amenities including car-pooling, cleaning, concierge and storage solutions.
One of the projects involves Delta Point, the iconic 370,000 sq ft former BT office building in central Croydon. The building, which was featured in the Batman Returns blockbuster film, will be converted into 404 apartments along with additional facilities.
180 units more are due for will be delivery at nearby schemes, Canterbury House and Bedford Park.
Other office conversion developments now under-way include the former Ford HQ building in Basildon, where 384 PRS units are scheduled for delivery by the end of 2015.
The total value of the developments when completed developments will be £500m, and they will have a combined rent roll of around £21m per year.
Iain Murray, director of PRS at Criterion Capital, has said:
“While last year was about planning and preparation, this year is about construction and delivery. Now that work is under-way across our first developments, we are working hard to ensure that we will offer unparalleled management services for when our first tenants move in later this year.”
— LandlordZONE (@LandlordZONE) January 20, 2015