Pomona Island development forward sold for £23m

VISTA, a private rental sector joint venture between Hermes and Countrywide, has forward purchased the first phase of Manchester Waters from Rowlinson Construction in a £23m deal.

The development was awarded planning consent in November 2015 for 164 build-to-rent apartments totalling 96,547 sq ft and 105 car parking spaces.

It is being developed by Rowlinson Construction, which has acquired the site on long leasehold from Peel Land & Property.

This phase at Manchester Waters will be the first scheme to be developed at Pomona Island, which is located on the south west fringe of central Manchester.

It is Vista’s second largest private rental scheme following the forward purchase of Baltic Village in Liverpool, which exchanged last year.

Chris Taylor, head of private markets at Hermes Investment Management, said: “The combined strengths and expertise of Hermes Investment Management and Countrywide allows us to deliver extremely attractive UK BTR assets that appeal to both investor’s requirements and accessible living for the local population.

“Manchester is one of the UK’s strongest regional economies and has particularly robust professional and financial service industries helping to continue its growth trajectory.

“Manchester Waters is therefore a long-term investment for Vista and falls in line with our strategy of focusing on high-quality, new BTR assets across the UK.”

Graham Bell, managing director at Countrywide, said: “Countrywide will provide Manchester Waters residents with a professionally managed and customer-focused experience at affordable prices for people living and working in Manchester.”

Vista was established as a joint venture between Countrywide and Hermes Investment Management in October 2014 and aims to achieve a target investor-level return of 9% to 10% a year, net of fees.