Edmond de Rothschild Real Estate Investment Management (REIM) has secured a prime residential development site in Glasgow, its first investment in Scotland, for the Edmond de Rothschild Residential Investment Fund UK, which invests in the private rented sector (PRS) on behalf of European institutional investors.
The fund has agreed to forward fund a build-to-rent development of 114 apartments in the city’s trendiest neighbourhood, Finnieston, by Drum Property Group for £25.9 mln (€30 mln). Located on Minerva Street, adjacent to Exhibition Centre Station, the development, called G3 Square, has a detailed planning consent and construction will begin in the first quarter of next year, with completion expected in July 2023. Drum Property Group will act as development manager.
Charlie Miller, co-head of residential in the UK and director of residential transactions at Edmond de Rothschild REIM, said: 'G3 Square is an excellent opportunity to establish the fund’s first development in Scotland, where we will provide high-quality rental accommodation at affordable levels in line with the strategy for the fund. Glasgow is the seventh biggest city in the UK, with exceptionally strong demand for homes to rent.'
The Edmond de Rothschild Residential Investment Fund UK was launched in August 2018 and to date has raised equity commitments of around £260 mln, with further equity being raised, from European institutional investors. The fund aims to create a diversified portfolio of PRS assets.