Joint venture acquires city site to develop 578 build-to-rent apartments
A joint venture between Marrico LLP and Helios Real Estate has purchased the site for the second phase of its Lisbon Street development in Leeds city centre from Leeds City Council.
The site acquisition was financed via a loan from The Ardent Companies, the US-based real estate and asset management firm, representing the UK lending debut for its expanded debt platform.
The £200m second phase, located on the former International Swimming Pool site, will provide 578 build-to-rent units across two towers of 21 and 32 storeys, with associated gym, residents lounge and communal areas. Work on site is expected to begin in 2025.
The first phase, a 529-room purpose built student accommodation scheme, is currently onsite and is due to complete in 2025, opening in time for the next academic year. Phase three will be a 188-room aparthotel, with construction targeted to begin in 2025.
Mark Barnes, managing partner of Marrico, said: “We are pleased to have now purchased the site from Leeds City Council.
“With full planning consent in place, work will begin in 2025, allowing the Lisbon Street development to play an ever-greater role in bringing more investment and growth into the west of Leeds city centre.”
The loan facility is the first by Ardent since it expanded its US debt platform into the UK.
Building on Ardent’s longstanding lending activity in the US, totalling over $2.3bn, the new platform is targeting both fresh facilities and debt buying across a range of different structured options, with a focus on the UK living sector.
Sunny Lakhtaria, UK head of debt at The Ardent Companies, added: “This loan represents an expansion of our US debt platform and is a terrific milestone for the firm.
“The nature of this facility underlines our ability to move swiftly, enabling the acquisition of this prime site, with planning in place and, in Marrico and Helios, a highly experience development team ready to deliver this great BTR scheme.”
Legal advice was provided to the joint venture by Square One and to The Ardent Companies by Addleshaw Goddard.
