HSBC and RBS have backed the UK’s first pre-fab build to rent scheme with a £60m loan facility.
The banks will equally finance Essential Living’s 249-home Creekside Wharf scheme, based in Greenwich, with a four-year club deal.
“Long-term demand for private rented housing is only going to increase in London and Essential Living’s position as an innovator and market leader is underlined by this award-winning project,” said Darren Wilson, senior corporate banking manager for real estate at HSBC Bank.
It will be the first housing development to include discount market rent homes, which will be priced from 55 per cent of market rent and “blended in” with the market-rented apartments.
Creekside Wharf is also the first build to rent scheme to have a specially designed block for families, that includes built-in buggy storage, noise insulation and an on-site creche.
Build to rent schemes are attracting serious investment. Legal & General's build to rent fund has attracted £170m in investment, bringing its total value to £1bn, the group disclosed this week.