10th Nov 2014 07:43
LONDON (Alliance News) - Residential property owner and manager Grainger PLC Monday said it has signed a deal with residential and urban regeneration specialist Sigma Capital Group PLC that will help it create a large private rental sector portfolio in key English cities outside London.
In a statement, Grainger said the deal grants it the exclusive option for an initial four year term to acquire development opportunities of 100 units or more sourced by Sigma.
Grainger said it will appraise each development opportunity individually, but a number of sites have already been identified that Grainger and Sigma are looking to progress.
"At present, Grainger expects to fully own the initial developments sourced by Sigma, although in the future it may also seek to syndicate its investment to third party investors, which could include Sigma," the company said.
"Sigma, in addition to sourcing development opportunities, is expected to act as development manager on the majority of projects and will earn a profit share on each development, split into a sourcing fee and a development management fee," it added.
Grainger will announce its results for the year to September 30 on November 20.
By Steve McGrath; [email protected]; @stevemcgrath1
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