Rights to the two towers at 101 George Street in Croydon are being bought from Tide Construction by investment companies Henderson Park and Greystar.
The site, next to East Croydon station, has full planning permission and the transaction is expected to close in the first quarter of 2018.
The development will comprise two of the world’s tallest towers built using modular construction, at 44-storeys and 38-storeys. Approximately 550 apartments will be delivered in ready wired, plumbed and glazed modules on the back of trucks, to be just craned into place. The flats will be offered for private rent.
The modules will be made in a factory in Bedford and delivered with the electricity prewired and plumbing, furniture and windows already installed. The total build time for the project is planned to take just 24 months, from construction starting to residents moving in.
101 George Street is the fourth project Greystar and Tide Construction have delivered using this method and, once complete, will bring the total number of units the partnership has delivered in London to 1,700 units.
Christy Hayes, CEO of Tide Construction, said: “The towers of 101 George Street will stand tall as testimony to the potential of modular construction within the UK and beyond. Building high-quality homes faster, and with less disruption to the local area, is of paramount importance in such a fast-evolving area of south London. Modular construction is highly suited to rental developments as investors and operators can welcome residents into their homes sooner and open the revenue streams earlier.”
This is the second investment Henderson Park and Greystar have made in joint venture into the London residential private rented sector (PRS), following their £140 acquisition of a 172-unit portfolio from Barratt Developments in March 2017.
Greystar UK managing director Mark Allnutt said: “101 George Street is a strategically significant deal for Greystar and helps us move closer to our target of delivering 10,000 multifamily units in London by 2022. It also means that, when operational, we will have large-scale multi-family developments in four areas of London – Greenford in West London, Sailmakers in East London, Nine Elms in central London and now Croydon in south London.”