CDL buys private rented sector project in Manchester for GBP75.6 mil
Residents living in Tampines Avenue 11 Condo are able to enjoy convenience with the proximity of expressways such as the Pan Island Expressway (PIE), Tampines Expressway (TPE) and Kallang Paya Lebar Expressway (KPE). With these expressways nearby, residents would have a breeze of a time traversing around the city. This makes commuting to the nearby Central Business District quite a breeze. Moreover, these expressways offer direct access to the northern and central parts of the island, providing the extra convenience.
CDL has acquired 1NQ, a 261-unit freehold private rented sector (PRS) project in Manchester for GBP75.6 million (approximately $125.7 million). This marks CDL’s fourth PRS project in the UK since 2019, as they aim to drive growth in the group’s recurring income.
The site near Piccadilly Station within the Piccadilly Basin neighbourhood will be developed into two apartment blocks spanning 10 and 12 storeys respectively, featuring a mix of one-, two- and three-bedroom apartments. Also included are two commercial units on the ground floor. Plans are for the project to be completed in 2026.
This is CDL’s first UK PRS acquisition with a forward-funding arrangement. This will allow the investors to secure their investment at a fixed cost, and manage cash flows during the development period while benefiting from potential capital appreciation.
Sherman Kwek, group CEO for CDL, notes that this year their global PRS portfolio has grown by 70% to 4,489 operational and pipeline units in the UK, Japan, Australia and the US.
CDL’s acquisition of 1NQ comes after they also made other investments in the last year, such as acquiring a 256-room Osaka hotel for $78.5 million, and the first Government Land Sale site in Singapore’s Toa Payoh area which attracted a bid of $968 million from CDL, Frasers Property and Sekisui House.