Forward funding deal agreed for £152m residential scheme
Real estate investment manager, Barings, has agreed the £152m forward funding with Glenbrook of a mixed build-to-rent (BTR) and build-to-sell scheme near Leeds city centre.
Glenbrook, a residential development company, will retain a stake in the scheme in joint venture with Barings and be appointed as the development manager.
Acquired on behalf of a US insurance company, the scheme on Kirkstall Road will deliver 618 one, two and three-bed apartments set across five buildings sitting in landscaped grounds – including new public realm – next to the River Aire.
The five-acre site will have over 10,000 sq ft of amenity space including a residents’ lounge, co-working and gym, two private roof terraces and 3,800 sq ft of commercial space.
Construction has begun and is expected to complete by the end of 2027.
This will be the fourth BTR-led development that Barings and Glenbrook have collaborated on following the forward funding of Vox, and the acquisition of The Trilogy in Manchester and The Keel in Liverpool, all of which are managed by Allsop Letting and Management (ALM). ALM will also operate the Kirkstall Road site.
Ben Pile, head of European residential investment and asset management at Barings Real Estate, said: “Leeds represents a significant opportunity for growth for institutionally developed and operated residential property as the UK’s fourth biggest city, featuring a lively population of young professionals thanks to a strong employment market and significant graduate retention rate.
“Given the stabilising economic and political environments in the UK and as we enter a new real estate cycle in Europe, we expect the picture for residential property – and indeed our other preferred sector of logistics – to become even more positive and are, therefore, actively seeking further opportunities to deploy capital on behalf of our partners.”
Gunther Deutsch, managing director and head of European transactions and country head Germany at Barings Real Estate, said: “Barings has significantly grown its living sector exposure over the last three years so that it is now our second biggest European real estate sector aside from logistics.
“This is because we see it as boasting favourable tailwinds in the UK and across Europe, and therefore remains a focus of our capital sources and our teams on-the-ground in all of our core European markets.
“For 2025 we are currently already working on a secured investment pipeline worth €745m with six transactions in four countries.
“We continue to seek investment opportunities with partners across our preferred jurisdictions of the UK, the Nordics, the Netherlands, Germany, Italy, France, and Spain.”
Ian Sherry, co-founder of Glenbrook, added: “We are thrilled to be partnering again with Barings Real Estate on this impactful project.
“This development not only addresses the urgent need for housing in Leeds but also contributes to the revitalisation of the Kirkstall Road area.
“We believe that creating high-quality living spaces is essential for fostering thriving communities.”
