Deals

Henderson Park enters London PRS with Greystar JV

After launching its real estate business and making a string of hires towards the end of 2016, Henderson Park has now teamed up with US residential real estate giant Greystar to move into the UK capital’s multifamily market. 

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Henderson Park, the London-based real estate investment manager, and Greystar Real Estate Partners, the Charleston, South Carolina-based real estate services firm, have formed a joint venture to acquire a 172-unit PRS portfolio located across the UK capital for £140.5 million ($172.5 million; €162.7 million).

The portfolio includes a 29-unit development, Aldgate Place, in the City of London, which will the see the partnership team up with UK REIT British Land, and a 25-unit scheme in west London, called Fulham Riverside. The final element of the portfolio is the forward purchase of a 118-unit tower development in Nine Elms Point, a regeneration area in south London, via a separate venture between UK homes developer Barratt Homes and London housing association L&Q.

All three developments were acquired from Barratt Homes and the acquisition marks Henderson Park’s first investment into London’s PRS market. Greystar will provide professional management services, according to a spokesman for the JV. PERE also understands the transaction will be the start of a long-term JV between the two firms in the London PRS market.

Nick Weber, founding partner of Henderson Park, said the deal offers his firm the opportunity to achieve “critical mass” in the UK PRS market. “In Greystar we’ve secured an unrivalled partner to help us effectively deliver the high quality rental experience that the London market has long been waiting for,” Weber added.

Weber launched Henderson Park in September after receiving $500 million of backing from Greenwich, Connecticut-based private equity firm Stone Point Capital, sovereign wealth fund Kuwait Investment Authority, and New York and Kuwait-based investment manager, Wafra Investment Advisory Group.

Since then, the firm has made fives senior executive hires from established names such as Goldman Sachs, Mount Kellett and Situs. In November, Henderson Park also made its first acquisition, the €365 million Le Méridien Etoile hotel, the largest hotel in Paris.