HILL AND PINNACLE INVESTMENTS SECURE TWO DEVELOPMENT SITES FOR 1,800 HOMES IN NORTH WEST LONDON

A partnership between leading housebuilder The Hill Group and Pinnacle Investments has entered into a contract with the United Colleges Group, to redevelop two sites in Dollis Hill and Wembley which will together deliver over 1,800 new homes.

The parcel of land off Dudden Hill Lane, which is earmarked for approximately 1,500 new, energy efficient, mixed tenure homes, and the site off Wembley Park Drive, which will gain around a further 300 new homes, are both well-connected and popular residential locations.

The deal will enable United Colleges Group to consolidate and build a new state-of-the-art educational campus on Olympic Way, close to Wembley Park station. United Colleges was established in 2017 following the merger of the College of North West London and City of Westminster College and focuses predominantly on vocational courses. Green skills, including engineering and the built environment, will be the focus of the ambitious new Wembley Park facility.  The United Colleges Group were advised by Bidwells.

Andy Hill, Group Chief Executive at The Hill Group said: “The delivery of high-quality, large-scale projects in strategic partnership is at the heart of The Hill Group’s approach, and we are pleased to be working with Pinnacle on this new venture. Being the lead developer on over 1,800 much-needed new homes in this important area of London is a testament to our track record and reputation for placemaking and regeneration. In collaboration with Brent Council and United Colleges we look forward to embarking on this exciting new project that will bring long-term benefits to Dollis Hill and Wembley, and deliver quality sustainable new homes for residents, both now and in the future.”

Christopher Turnbull, Managing Director at Pinnacle Investments commented: “It is a great start to our partnership with Hill to secure these two North West London sites. We look forward to working collaboratively with our partner and other stakeholders to deliver high-quality, sustainable, mixed tenure homes and through long term investment and stewardship of place support the creation of a successful new community that also provides for existing neighbouring communities.”

Stephen Davis, CEO and Principal at United Colleges Group said: “The sale of our existing campuses at Willesden and Wembley is a crucial step in making sure that the College of North West London continues to deliver world class education and skills for the residents of Brent and the wider London community. We celebrated 130 years of unbroken further education provision in Brent earlier this year, and our new campus on Olympic Way will allow us to continue to do that. The state-of-the-art facility will be fully equipped for the digital students of the future, through our designation as a flagship college for our key delivery partner, Microsoft. Our continued relationship with Hill will ensure that we deliver on this ambition for our students whilst also leaving a legacy of much needed housing for Brent at our previous campus sites.”

PICTET-PINNACLE FINANCE HAT-TRICK OF DEALS WITH LLOYDS BANKING GROUP

Lloyds Bank PLC has provided a £86m sustainability-linked investment facility secured against three newly-constructed residential apartment blocks in London. The assets were acquired this year by Pictet Alternative Advisors, in partnership with Pinnacle Investments.  The portfolio consists of c 290 newly built one-, two- and three-bed apartments in Wandsworth Riverside, Silvertown and Upton Park, acquired from A2Dominion, Redrow/Peabody and Barratt Developments, respectively.  They form part of a wider portfolio of 360 apartments, including 70 units in Limehouse, East London. 

The new acquisitions were reported by React News earlier this year. Brotherton acted on behalf of the JV in advising on and arranging the debt for the transaction.

Ed Jackson, Principal at Pictet Alternative Advisors said “We’re delighted to have launched this new lending relationship with Lloyds.  Our commitment to investing in newly-built, energy-efficient properties has enabled us to benefit from a sustainability-linked margin ratchet, enhancing returns as well as our ESG credentials.”

Sam Shah, Director & Alternative Residential Lead, Global Investor and Listed Clients at Lloyds Bank said “The UK institutional PRS market continues to evolve at pace and is an increasingly important component of overall housing delivery. The support we are providing Pictet will allow them to unlock high-quality-for-rent housing through a bespoke acquisition and stabilisation debt package which also qualifies under our green commercial mortgage offer"

Ben Rustin, Associate Director at Brotherton, said, “Lenders are competing with each other to win mandates in an increasingly competitive market for the UK residential for rent sector. We’re grateful to Lloyds for their reliable and quick execution of a competitive funding package which will support Pictet in establishing an institutionally managed portfolio of private rented sector assets.”

PICTET-PINNACLE JV ACQUIRES 55 FLATS IN EAST LONDON

Pictet - Pinnacle JV scores resi hat trick with Upton Gardens deal.

• Pictet Alternative Advisors, in partnership with Pinnacle Investments, has exchanged contracts to acquire a single block of 55 apartments at Upton Gardens, East London

• Upton Gardens is on the site of the former home of West Ham United football club, and has been regenerated by FTSE100 house builder Barratt Developments plc, into a new residential neighbourhood of over 800 homes

• This deal marks Pictet’s third London residential investment of 2022 and fourth since launching its strategy following deals in Limehouse, Silvertown and Wandsworth

• Brings the JV’s portfolio to 360 London rental apartments

Pictet Alternative Advisors, in partnership with Pinnacle Investments, has exchanged contracts to acquire John Charles Tower, a single block of 55 apartments at Upton Gardens, East London, with Barratt Developments.  The Upton Gardens regeneration scheme is a new residential neighbourhood of over 800 homes, and is the former home of West Ham United football club, who moved to the London Olympic stadium, in nearby Stratford in 2016.

The block, which will be delivered this summer, comprises a mix of one, two and three-bedroom units for private rent, over 12 stories, and includes access to a gym, private gardens, concierge, underground parking, bike storage and an on-site car club.

The acquisition marks Pictet’s third London residential investment this year, and fourth since launching their strategy with Pinnacle following deals in Limehouse, Silvertown and Wandsworth.  It brings the JV’s total portfolio to 360 apartments in central London.

Ed Jackson, Pictet, said: “We’re proud to have acquired this piece of football heritage in a well-presented residential scheme in East London.  We’re coming in at the tail end of the Upton Gardens regeneration project, which is already a popular and attractive development with proven demand in this busy and vibrant inner-city location.  We continue to believe in the London residential market, which perennially suffers from a lack of well-located, affordable and energy efficient homes.”

Chris Turnbull, Pinnacle, said: “We are delighted to have exchanged to acquire John Charles House, at the heart of the exceptional Upton Gardens masterplan.  We look forward to welcoming our future residents to their new homes soon. They will enjoy spacious, affordable, energy efficient, dual aspect homes that benefit from both private and communal outside amenity.”

PICTET-PINNACLE JV ACQUIRES 102 FLATS IN BATTERSEA

Pictet-Pinnacle JV acquires York Place in Battersea for £60 million

• Pictet Alternative Advisors, in partnership with Pinnacle Investments, has acquired York Place, a newly developed block of 102 apartments in West London for £60 million from A2Dominion, a leading UK Housing Association.

• The JV’s third London residential investment following deals in Limehouse and Silvertown

• Brings portfolio to over 300 flats in Zone 1 / Zone 2 inner-city London locations

Pictet Alternative Advisors, in partnership with Pinnacle Investments, has acquired York Place, a newly developed block of 102 apartments in West London for £60 million from A2Dominion, a leading UK Housing Association.

The stabilised income-producing asset comprises a mix of one, two and three-bedroom units for private rent, over ten stories, and is part of the wider Coda Residences development of 275 new apartments.  The wider scheme also houses the new London headquarters of the Royal Academy of Dance, and includes two cafés, a performance space and library.  The block acquired by Pictet was completed in October 2021 and fully let within three months of launch.

The development is less than 100 metres from the River Thames in one of London’s most desirable areas, Wandsworth Riverside, which continues to attract young professionals due to close proximity to South West London’s bars, restaurants, shops and parks, and excellent transport links from Clapham Junction, Thames Riverside Walkway and shuttle boat services from the nearby Plantation Wharf pier.

This transaction represents the Pictet - Pinnacle joint venture’s second London residential acquisition this year, and third since launching the strategy, following deals in Silvertown in January, and Limehouse in 2020.  

A2Dominion was advised by Cushman & Wakefield.

Ed Jackson, Pictet, said: “This attractive apartment block is situated in the heart of South West London’s riverside amenity, and is the third transaction in our London strategy, bringing our portfolio to over 300 apartments.  London continues to retain its global primacy drawing capital and talent, but has always suffered from a lack of quality and affordable housing accommodation, which is why we are continuing to invest in newly-built, energy efficient and well-located residential properties.”

Chris Turnbull, Managing Director of Pinnacle, said: “This is an excellent addition to our joint venture with Pictet. We are excited to add these homes to our portfolio, which provide high quality accommodation for current and future residents.”

Nick Hutchings, Executive Director of A2Dominion, said: “York Place is one of the most exciting developments in South West London and we are delighted to have finalised the sale to Pictet Alternative Advisors & the Pictet Group. We will use all profits generated from the sale to invest in new affordable homes and our communities.”

Mark Clegg, Head of Residential Capital Markets UK at Cushman & Wakefield, said: “The PRS market remains buoyant, with a shortage of supply continuing to drive the sector’s growth. High quality, well-located developments like York Place are in huge demand from institutional investors and continue to achieve record pricing in an ever-increasingly active market. It was a pleasure to represent A2Dominion during this significant deal with Pictet / Pinnacle and play a key role in its completion.”

PICTET-PINNACLE JV ACQUIRES 131 FLATS IN EAST LONDON

Pinnacle-Pictet JV acquire £50m build to rent block from Redrow and Peabody

•           131 homes dedicated to private rental sector  

•           New homes are in London’s only Enterprise Zone

•           The development forms part of the £314 million regeneration of the area

•           Second London residential investment by Pictet Alternative Advisors

Leading UK housebuilder Redrow and one of London’s largest housing associations Peabody, have today confirmed a build to rent deal at Pontoon Reach in The Royal Docks. The deal was secured with funds managed by Pictet Alternative Advisors in joint venture with Pinnacle Investments.

The sale, which was in excess of £50 million, was managed by JLL, and will fund the delivery of 131 build to rent homes, including a mix of studio, one, two and three-bedroom apartments. The news comes at a time when the latest research from Zoopla shows the availability of rental homes in the UK is 43% below the five-year average whilst demand is up 43%

The build to rent apartments at Pontoon Reach are anticipated to be available from summer 2022 and form part of the wider regeneration of The Royal Docks. The area is London’s only Enterprise Zone and one of only 48 in the country. Part of the Government’s industrial strategy, Enterprise Zones are designated areas that provide tax breaks and other business incentives. They are engines of the UK’s economy, with 35,000 jobs and 4,000 homes forecast within The Royal Docks alone.

Jody Bryant, Head of Sales at Redrow Homes London, commented: “This build to rent deal further cements our commitment to deliver high quality homes which meet a variety of needs. The move is an exciting step forward for Pontoon Reach and the wider Royal Docks area and underpins our ambitions to create diverse and sustainable communities.

“The Royal Docks is one of the most rapidly changing areas of the Capital. The former industrial heartland has received substantial investment since it was established as an Enterprise Zone in 2013, with overall investment in the area set to reach more than £8bn by 2037, including £600m of TfL investment in the DLR network.”

James McMylor, Regional Development Director at Peabody said: “We’re committed to providing quality new affordable homes to foster sustainable and mixed communities now and into the future. This deal will create more opportunities for those wanting to rent a home at Pontoon Reach.  The scheme will be a great addition to this exciting regeneration area, and we’re here for the long term, with affordable homes to rent and buy, and great open spaces for all to enjoy.”

Edward Jackson, Principal at Pictet Alternative Advisors, added “We, along with Pinnacle, are very excited to add these 131 apartments at Pontoon Reach to our growing residential platform, taking our London portfolio to over 200 units. The London rental market continues to show strong growth characteristics, owing to an acute shortage of high quality, energy efficient homes. This attractive development, in close proximity to City Airport, Canary Wharf and The City will attract residents seeking well-located, high-quality and affordable homes.”

PICTET-PINNACLE LAUNCH RESIDENTIAL STRATEGY WITH ACQUISITION OF TWO APARTMENT BLOCKS IN LIMEHOUSE

Pictet launches its London residential strategy with £26.5m acquisition of two apartment blocks in Limehouse, East London

Two newbuild residential apartment blocks with 70 private units in Ropemaker’s Yard, Limehouse, developed by L&Q, have been acquired by Pictet Alternative Advisors (PAA). PAA has teamed up with Pinnacle Investments to assemble a portfolio of residential assets across London.

Pictet Alternative Advisors has launched a London residential strategy with the £26.5m acquisition of two residential apartment blocks in London, in partnership with Pinnacle Investments.   Comprising 70 one- and two- bed units, the apartments were purchased in an off-market transaction from L&Q, one of London’s largest Housing Associations.  The wider development forms part of a regeneration scheme of the old Ocean Estate in Limehouse, a well-connected sub-market between the City of London and Canary Wharf. 

Pictet is planning on significantly increasing its footprint in the London residential market, aiming to capitalise on structural growth trends supporting increasing demand for high quality rental product at a time of limited supply and lack of housing affordability.  The sector also provides resilience in a downturn, with residential the best performing asset this year in terms of rent collection.

Charlie Baigler, Head of Acquisitions, Real Estate at Pictet Alternative Advisors, said:  “This purchase marks the launch of a key strategy for Pictet Alternative Advisors. The supply and demand fundamentals remain attractive and tenants increasingly seeking high quality, well located, and professionally managed rental apartments, with outdoor space and amenities.  This asset fulfils those demands.  Our partnership with Pinnacle ensures the highest standards in technology enabled property management, with a strong focus on ESG.”

PAA’s operating partner on this strategy, Pinnacle Investments, is a residential property specialist, providing asset management and property management functions.  Chris Turnbull, CEO of Pinnacle Investments, added “we’re delighted to kick-off our work with Pictet on this exciting strategy and look forward to managing a growing portfolio of London residential assets over the coming years”.

PRF - BEDFORD FINANCING WITH SECURE TRUST BANK

The Pinnacle Residential Fund, managed by Pinnacle Investments, has acquired a market rent asset, with assistance from Secure Trust Bank Real Estate Finance. The newly formed residential property fund secured a £4.2million loan to fund the purchase of The Residence, at Lurke Street, Bedford.

Chris Turnbull, managing director of Pinnacle Investments, said: "The Residence is newly finished to a high specification. It is in the heart of Bedford and less than a mile from Bedford Station, with services to London, Milton Keynes and Luton Airport. It has first class amenities right on the doorstep, in a market underserved by good quality rental stock.

"We didn't anticipate completing our first acquisition during a national lockdown, but with the help of Secure Trust Bank Real Estate Finance we were able to get the deal over the line."

James Conolly, London-based relationship director for STB REF, said: "It has been great working with Chris and his team to help Pinnacle achieve this landmark first acquisition. We look forward to working with the fund as it seeks to build its portfolio."

Paul Carmody of Outside the Box Capital Solutions and Anand Jogia of Impera Advisors Ltd advised Pinnacle Investments on the deal.

Pinnacle gets out of the blocks with help from Secure Trust Bank Real Estate - Secure Trust Bank

For more information on the strategy and our investment requirements, please feel free to get in touch with Andrew Wilson (Andrew.wilson@pinnacle.investments)