LONDON (Alliance News) - The PRS REIT PLC said Thursday that it has acquired a development site in Wigan, England, at a total development cost of GBP15.2 million, for the construction of 145 new family rental homes.
The site is expected to generate GBP950,000 of rental income per annum once fully let, and construction on-site is expected to be completed in the first half of 2020.
In addition, PRS REIT has acquired a newly completed private rented sector site from Sigma Capital Group PLC, consisting of 63 family homes for GBP10.3 million. The development is situated in Birmingham, England, and generates an annual rental income of GBP600,000 per annum.
Also, PRS has agreed to a forward contract to acquire a development in Essex, England, for a further 94 units, with total delivery cost of GBP27.3 million.
Sigma Capital itself has acquired two additional development sites, which have a total development cost of GBP17.6 million, located in Nuneaton and Essex, and will deliver 50 and 28 new family homes respectively, with a combined rental value of GBP1.1 million per annum.
The sites are expected to be completed in the second half of 2019, for which PRS REIT has signed forward purchase agreements to acquire.
PRS REIT will publish its maiden results on October 10, while Sigma will publish its interim results on September 25.
Shares in PRS REIT were down 0.5% on 102.00 pence, while Sigma Capital shares were up 1.6% at 136.18p on Thursday.
Prs Reit (PRSR)