Property developer Avanton has unveiled ambitious plans to build 5,000 flats for rent across London in the next two years as part of its big expansion plans for build-to-rent property.
It has put aside a £500 million land fund to target locations including Islington, Southwark, Wandsworth and Wimbledon as part of its expansion into the capital’s lucrative build-to-rent sector. The company already has six sites in London including the Gas Works of the Old Kent Road (pictured, above)
Already an established operator in the residential build-to-sell market, it says there’s a significant lack of high quality, purpose-built, rental stock in relation to demand.
Working alone as well as through joint venture partnerships, the developer plans to spend between £20 million and £100 million per site, building up to 1,000 units on each.
Avanton has already started lining up a large portfolio of build-to-rent projects.
In Richmond, along with partner ICG, it’s working on a £250 million urban-village development on the Homebase site off Manor Road for 453 high quality apartments complete with a pocket-park, retail, community and offices.
On Old Kent Road in Southwark, the firm has consent for the £730 million Ruby Triangle project for 1,414 new homes, of which 50% will be build-to-rent, while it also has a third site earmarked in the London borough of Brent for 500 build-to-rent units.
Sales & marketing director David Ronson (pictured) says: “We are seeking to expand our build-to-rent, mixed tenure and private sale portfolios because, despite the obvious challenges, the property market has been extremely resilient and recovered rapidly last year after the lockdown.
“This year the market sentiment has been cautiously upbeat as the UK has taken a global lead in the vaccine rollout and we see great opportunity at this moment in the property cycle.”