Network and Stanhope, a commercial property developer, have today exchanged contracts to acquire Grosvenor House in Drury Lane and will work together in the Build to Rent market across London.
This follows the announcement in November 2015 that Stanhope and Network had agreed the terms of a framework agreement to work together.
Grosvenor House in Drury Lane is leased to the London School of Economics for student accommodation. Network and Stanhope will work together to take forward a strategy to maximise the medium term value of the asset.
They plan to jointly purchase, develop and manage Build to Rent assets across all parts of London.
Opportunities currently being considered include sites in the London Boroughs of Lambeth, Haringey, Brent and Harrow focussing upon providing purpose built mid-market Build to Rent residential in locations well served by public transport to suit young professionals.
This will be accompanied by a high quality bespoke management and maintenance service.
David Camp, Chief Executive of Stanhope plc, said: “We are focused on establishing how Stanhope can build upon its expertise and experience to play a long term role in delivering reasonably priced rental homes in London. Our framework agreement with Network will enable us to combine our skills to provide high quality product and service in the private residential rental sector.”
Vicky Savage, Executive Development Director, Network Housing Group, said: “We are delighted to be working with Stanhope whose undoubted expertise and experience is perfectly complemented by our own. Given the shortage of housing and the high cost of buying, we see a long term need for well-managed, purpose built private rented accommodation in the capital. Together with Stanhope we can offer a really high quality approach to the whole development process; from site acquisition, design progression, delivery and management.”