Telford Homes Share News (TEF)

(ShareCast News) - AIM-listed residential property developer Telford Homes has exchanged contracts for the sale of its third build-to-rent development, The Forge, to M&G Real Estate for £48.6m.The sale of the property on Redclyffe Road in East London is on a forward-funded basis and will comprise an initial land payment followed by regular payments throughout the construction period and therefore will not require debt finance.The Forge has full planning permission for 192 homes including 67 affordable homes which has been sold to a housing association in a separate transaction.Chief executive Jon Di-Stefano said: "The sale of The Forge cements the strong relationship that we have formed with M&G Real Estate and we are delighted to be working with them again following the successful sale of Carmen Street earlier this year."Now that we are developing two schemes together I look forward to working closely with Alex Greaves and the M&G team and exploring ways of extending our partnership as we move into 2017."The company said it continues to explore further build-to-rent opportunities including the potential for longer-term partnerships with key investors to enable further sales within a relatively fixed framework and to work together on future site acquisitions.At 0910 GMT, Telford shares were up 0.7% to 311.25p.