Addington Capital, the property investment and asset management specialist, and its investment partner have completed the sale of Headingley Park in Leeds for €32.8m to a private investor client of Allsop, marking a successful exit from the 222-unit build-to-rent scheme.
The five-building freehold residential complex, set within approximately 23,880 sq m of parkland, represents a showcase conversion project that transformed redundant office space into highly desirable rental accommodation. The sale follows the September 2024 completion of Stockdale House, the final building to be converted since Addington began working with its partner in 2018. With a gross income potential of €3.23m annually when fully occupied, the transaction highlights the premium valuations achievable for well-executed adaptive reuse projects with strong ESG credentials.
"Addington has asset managed Headingley Park since 2014 and we are proud to have created homes for Leeds thriving young professionals out of redundant office accommodation. The scheme has been a success and is an exemplar for Permitted Development conversion of offices to residential and we believe should be a road map for future schemes,"said Martin Roberts, Principal at Addington.
The development, which comprises 43 studios, 143 one-bedroom and 36 two-bedroom apartments, has established itself as a premier residential destination, recently ranked as the best place to live in Leeds by HomeViews. Its appeal stems from comprehensive amenities including electric vehicle charging points, co-working spaces, a residents' lounge and extensive landscaped gardens. In a notable arrangement demonstrating the scheme's operational strength, AddLiving, Addington's specialist property management subsidiary, has been retained by the new owners to continue managing the estate.
"The sale of Headingley Park presented a rare opportunity to acquire a substantial, high-quality residential portfolio in one of the UK's fastest-growing cities. Its combination of strong yields, community focus, and sustainability features made it an attractive proposition for investors seeking to capitalise on the thriving Leeds market. It was a pleasure to act on behalf of Addington and we look forward to seeing the site prosper under the new buyer," commented Harrison Collins, Partner in the Residential Investment team at Knight Frank, who facilitated the transaction after being appointed by Addington in summer 2024.
For developers and investors watching the UK market, the sale represents compelling evidence of liquidity for higher-yielding regional BTR assets that offer operational scale. With yield spreads over London assets widening to historic levels, regional BTR conversions present an increasingly attractive risk-adjusted return profile as the UK approaches a potential interest rate easing cycle.
People:
- Martin Roberts, Principal, Addington Capital
- Matthew Allen, Co-founder, Addington Capital
- Harrison Collins, Partner in Residential Investment team, Knight Frank
Companies:
- Addington Capital - Property investment and asset management firm
- AddLiving - Property management company and subsidiary of Addington Capital
- Knight Frank - Global property consultancy that facilitated the sale
- Allsop - Represented the buyer
- HomeViews - Property review platform that ranked Headingley Park as the best place to live in Leeds
Image Source: Addington
Get the latest real estate news and investment insights from Europe Real Estate - your trusted source since 1999. To receive daily or weekly updates. Sign up here!
