Grainger plc Share News (GRI)

(Sharecast News) - Residential landlord Grainger has agreed to forward fund a 284-home private rented sector development at Well Meadow in Sheffield for around £42m.

The developer is Panacea Property Development and the site is positioned within close proximity to Sheffield city centre, with both the Kelham Island neighbourhood and the Royal Hallamshire Hospital a short walk away.

Grainger said the project builds on its existing portfolio of PRS investments in Sheffield, with Brook Place, the 237 home build to rent development also close by, "providing scale and operational efficiencies in a Sheffield cluster".

Grainger expects the investment to generate a gross yield on cost of around 7% once stabilised, with practical completion anticipated in early 2022.

Chief Executive Helen Gordon said: "With the city centre area undergoing significant regeneration, and housing demand supported by Sheffield's strong graduate retention rates, we are confident that Well Meadow will prove to be a popular location to live. Upon completion of this project, Grainger's Sheffield cluster will comprise 521 purpose-built PRS homes."