Award-winning developer Crest Nicholson has announced its biggest Private Rental Sector (PRS) deal, worth £120m, with funds managed by leading global investment management firm, Oaktree Capital Management, L.P. (“Oaktree”) and CompassRock International (“CompassRock”). The transaction involves the sale of 403 units across three key developments in Southern England, offering high quality private rental units to local residents.

The investment encompasses 403 homes located at Brightwells Yard, Farnham, The Tower at Centenary Quay, Southampton, and Walton Court Gardens, Walton-on-Thames. The properties are due to be completed over the next two years; with first completions due to take place at Farnham in early 2022 and the last completions at Walton in the summer of 2023.

Crest Nicholson is continuing to invest in its Partnerships & Strategic Land platform, focusing on mixed tenure delivery, specialist land procurement and key relationships. As part of the Group’s wider strategy for growth, Crest Nicholson looks to maximise its value by partnering with investors, like Oaktree, who are looking for diversified income streams.

Oaktree has formed a strategic relationship with CompassRock International, which will asset manage the portfolio through delivery, stabilisation and long-term operations.

Kieran Daya, Managing Director at Crest Nicholson Partnerships & Strategic Land (CNPSL), commented: “Given the increasing demand within the private rental sector for a higher standard of living, we are proud to be working with Oaktree to deliver homes for renters and helping address the UK’s housing challenges. Oaktree, along with CompassRock, are experts within their field and know how to deliver rented accommodation that further enhances any development and benefits to the local economy. This strategic partnership is yet another example of the growing contribution CNPSL is making within Crest Nicholson and typifies how the Group works with its partners to deliver homes and establish communities.”

David Woodward, CEO of CompassRock International, said: “Working closely with Oaktree and Crest Nicholson has proven to be an excellent match between capital source and delivery partner. CompassRock has been very pleased at how seamlessly all parties worked together to complete this transaction which will bring much needed rental housing to underserved markets in the U.K. We are very excited about playing a long-term asset management role ensuring that these investments outperform and that the BTR experience provided to residents is unrivalled.”

To learn more about Crest Nicholson’s Brightwells Yard, Centenary Quay and Walton Court Gardens please visit: www.crestnicholson.com.

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