Tag Archives: croydon

Croydon key to Criterion PRS growth in 2015

Developer and property investor Criterion Capital will deliver more than 1,500 apartments into the private rented sector around London and the south east, during 2015. And more than 580 of the new units will be in Croydon.

The company has recently signed construction contracts to begin work on a number of sites, principally converting redundant office buildings into flats for rent. It has projects live in Basildon, Colliers Wood, Croydon and Sutton. All of the completed homes will be offered for rent under Criterion’s Miflats brand, which promises to provide additional services and amenities for tenants including car pooling, cleaning, a concierge, fitness facilities and self storage.

More than a third of the new flats will be delivered in Croydon, where three separate projects are under way. Delta Point, formerly an office block occupied by BT, will convert to provide 404 apartments. Nearby Canterbury House and Bedford Park will produce a further 180 apartments. A £48m trio of design and build contracts has been agreed with contractor Longcross to carry out the conversions.  The design and specification of the flats is tailored specifically from the outset for rent, meaning a distinctly different look to apartments being built locally for sale, by developers such as Berkeley.

Delta Point, former offices being converted to provide 404 apartments for private rent

Delta Point, former offices being converted to provide 404 apartments for private rent

How Delta Point will look after conversion to flats

How Delta Point will look after conversion to flats

At Delta Point, work will include fitting a new roof and facades. Longcross London office director Paul Thomas said: “This significant award reinforces our visibility in the capital, establishes us as a lead provider in the PRS market and consolidates our secured workload for the next financial year.”

Elsewhere, in Basildon, Essex, the company is converting a former Ford Motor Company office block to add 384 apartments to rent. This too should be ready for tenants by the end of 2015.

Iain Murray, who joined Criterion Capital several months back as director of PRS, commented: “While last year was about planning and preparation, this year is about construction and delivery.  Now that work is under way across our first developments, we are working hard to ensure that we will offer unparalleled management services for when our first tenants move in later this year.”

Canterbury House in Croydon will also be converted to residential

Canterbury House in Croydon will also be converted to residential

The 1,500 flats should between them have a capital value of around £500m, and an annual rent roll of around £21m. Criterion is likely to be looking for additional financial partners, possibly selling on completed and stabilised blocks to long term investors such as pension funds, once all the flats are let.

Criterion has secured £115m of funding from backers including Barclays, HSBC and RBS for its projects, and has ambitious plans to deliver a further 5,000 homes by 2020. The company has taken advantage of permitted development rights, under a government initiative that has allowed office blocks to be converted to residential use, without planning permission being needed for the change of use.

Runners up praised for private rented initiatives

Two projects in the outskirts of London were named as runners up in the MIPIM UK awards, announced last week, behind first choice Get Living London.

First off was London Road, Barking, a 100 flat development being developed by residential landlord Grainger and Aviva. Developed by Bouygues Development, the project includes an Asda supermarket beneath the flats, and is due for completion in the third quarter of 2015.

London Road, Barking, delivering 100 flats for long term rental

London Road, Barking, delivering 100 flats for long term rental

Also highly regarded by the award judges was Taberner House in Croydon, a 32 storey tower that will provide 230 flats converted specifically for rental. New PRS landlord Essential Living has agreed to forward purchase the project, while is being developed to designs by Make Architects. The block will be built on the former site of the Croydon council offices.

The 32 storey Taberner House project will provide 230 flats with commanding views across south London

The 32 storey Taberner House project will provide 230 flats with commanding views across south London

 

 

Miflats private rented brand launched into PRS market

UK developer and property investor Miflats has launched a new private rented brand, Miflats, which it intends will become a major player in the professional private rented sector in the UK. The newly formed brand promises to deliver a level of service and flexibility into the rental market, similar to that prevalent in the upper levels of the US home rental market.

The launch comes as Criterion readies its first private rented schemes, with projects including up to 2,000 flats in the planning stage. The company says it has a pipeline of around 10,000 units for delivery by 2020, and will establish Miflats as one of the most active landlords in the PRS.

“The landscape for the private rental sector is changing apace and being a passive investor is no longer an option,” said Iain Murray, director of PRS at the company. “The launch of the Miflats brand has been brought about by consumer demand for a rental product and service that suits their lifestyle. We have responded with a consumer facing brand and service that redefines the landlord/tenant relationship and brings it into the 21st century.”

East India Dock, where Criterion Capital plans to convert offices to create 1,500 rental flats

East India Dock, where Criterion Capital plans to convert offices to create 1,500 rental flats

Criterion’s private rented pipeline includes:

former Ford offices at Trafford House, Basildon where permission has been sought to convert the building to create 384 flats

Canterbury House, Astral House, 5 Bedford Park and Delta House in south London, which the company purchased with the intention to convert to flats for rental

East India Dock in London’s Docklands, where 1,500 flats are planned through the conversion of four existing office buildings – one of which is currently the town hall for Tower Hamlets council.

Criterion Capital has property development and investment interests across London, with its most famous asset being the Trocadero building on London’s Piccadilly Circus, where the company recently announced it will be creating the largest Ibis hotel in the UK.

 

Croydon private rented tower gets go ahead

Permission has been granted for an office conversion in Croydon that will create 420 new homes, of which 230 are destined for private sector rental. Work should start on site at the end of 2014, converting  Taberner House into a 32 storey residential tower full of rental flats.

The project is being driven by the Croydon Council Urban Regeneration Vehicle, which has signed a deal with private developer Essential Living to buy and lease out the rental flats in the tower. A separate transaction will see lower level blocks adjacent to the tower developed by Places for People, which will create 220 homes for flexible tenure sale.

Taberner House has been a landmark in the area for many years, and was formerly the council's own offices. 

Taberner House has been a landmark in the area for many years, and was formerly the council’s own offices. 

Jo Negrini, executive director of development and environment at Croydon Council welcomed the approval for the project. “This is a really exciting planning decision for Croydon and another high quality development for a prime site in our town centre – one that will provide much needed new housing with fantastic transportation links. This is another really important milestone for Croydon.”

Croydon is undergoing something of a makeover, with several of its tired 1960s office buildings undergoing transformation into residential use. A stand-off between rival developers over which retail scheme would proceed in the centre has also recently been settled, with Hammerson and Westfield now planning a major new shopping centre redevelopment.

CCURV has already made headway in the area, having started three previous redevelopment schemes. Founded in 2008, it has developed Bernard Weatherill House, the council’s new offices, which were completed in 2013; handled the Waddon leisure and housing project; and is working to redevelop the Lion Green car park site for foodstore and community use.