Work has started on a 618-apartment scheme between Kirkstall Road and the River Aire in West Leeds.
Acquired on behalf of a US insurance company, the scheme will deliver 618 one, two and three-bed apartments set across five buildings in extensive landscaped grounds next to the River Aire.
The five-acre site will benefit from over 10,000 sq ft of amenity space including a residents’ lounge, co-working and gym, two private roof terraces and 3,800 sq ft of commercial space. Construction has begun and is expected to complete by the end of 2027.
All apartments will benefit from air source heat pumps, and solar panels will meet some of the electrical usage in the buildings.
Planning permission for the former Area Foods site was approved by Leeds Council two years ago.
Ben Pile, Head of European Residential Investment and Asset Management at Barings Real Estate, said: “Leeds represents a significant opportunity for growth for institutionally developed and operated residential property as the UK’s fourth biggest city, featuring a lively population of young professionals thanks to a strong employment market and significant graduate retention rate.
“Given the stabilising economic and political environments in the UK and as we enter a new real estate cycle in Europe, we expect the picture for residential property to become even more positive and are actively seeking further opportunities to deploy capital on behalf of our partners.”
Barings, one of the world’s largest diversified real estate investment managers, has agreed the £152 million forward funding with Glenbrook for the mixed build-to-rent and build-to-sell scheme.
Glenbrook, a leading UK residential development company, will retain a stake in the scheme and be appointed as the development manager.
Ian Sherry, co-founder of Glenbrook, said: “This development not only addresses the urgent need for housing in Leeds but also contributes to the revitalisation of the Kirkstall Road area. We believe that creating high-quality living spaces is essential for fostering thriving communities.”
The old Arla Foods building had diminished into a graffiti-laden eyesore on Kirkstall Road in Leeds since it was vacated by the company in 2004.