Investor agrees to fund development of new rental homes in Stratford

London is set to get more rental flats it emerged on Monday, with Aberdeen Standard Investments agreeing to fund a new development in Stratford.

The fund manager said it has acquired a site on Romford Road. Its Aberdeen Standard Pan-European Residential Property Fund plans to invest over £36 million to help create 158 apartments there in partnership with developer Aquastrada.

Property investors have been increasingly ploughing money into the build-to-rent sector in the UK. More people, particularly in London where it can be very tough to get on the housing ladder, are looking to lease homes for longer.

The latest Stratford project will include redeveloping four existing buildings. As well as the new apartments, there will also be a residents’ lounge and co-working space.

Robert McDonnell, residential fund manager at Aberdeen Standard Investments, said: “We look forward to delivering a unique build-to-rent scheme in a location that is underpinned by strong demand and supply fundamentals.”

Residents are expected to move in from the third quarter of 2021.

Property agent JLL worked with Aquastrada, and Cushman & Wakefield represented Aberdeen Standard Investments.