Palmer Capital Development Fund III - a programmatic venture between CBRE Global Investment Partners (GIP) and Palmer Capital alongside Danescroft have announced the sale of their 1-acre redevelopment site in the centre of West Drayton. The former industrial site was unconditionally acquired in January 2016 in a transaction arranged by Danescroft, a development partner of Palmer Capital. Danescroft co-invested in the transaction and were retained as the fund’s asset and development manager. The property has been sold to Shepherd’s Bush Housing Association.
Danescroft successfully secured planning consent for 87 residential units. The site sits within a prime location adjacent to the Grand Union Canal and immediately opposite the new West Drayton Crossrail Station.
The apartments will be designed to offer attractive water views and high levels of amenity, just two minutes’ walk to the new station with journey times to Central London (Bond Street) of only 23 minutes.
Danescroft Director James Trelfa commented: “The sale concludes a successful business plan for Danescroft & Palmer Capital Development Fund III, on what is a prominent yet challenging site. The site was assembled from four separate parcels each acquired unconditionally over a period of months. Having secured vacant possession, we then negotiated a complex planning consent for the scheme which comprises 87 apartments in three attractive residential blocks. The site represents the regeneration of the final piece of undeveloped land adjacent to the West Drayton Elizabeth Line (Crossrail) station. We are actively seeking similarly constrained sites which present the opportunity for considered redevelopment and regeneration.”
Alex Bignell, Region Head of UK, CBRE Global Investment Partners said: “The successful execution of the business plan for the West Drayton site by Danescroft represents another strong result for CBRE GIP’s third programmatic venture with Palmer Capital. Other projects in this fund are also progressing well and we are committing significant capital to the fourth venture in this series.”
Chris Button, Fund Manager & Head of Value Add REIM at Palmer Capital commented: “This transaction illustrates our track record in acquiring residential change of use of obsolete commercial buildings and our focus on good infrastructure links and strong demographic trends. We have c.€339.5m (£300m) to invest in similar projects during 2018.”
Mohit Jain, Director of Finance and Development at Shepherds Bush Housing Association commented: “This site presents a fantastic opportunity for us to provide much needed affordable housing in London. We are working with PDR Construction to deliver these homes as part of a package deal. The thoroughness of the work carried out by the Danescroft team means that we will very quickly be able to start on site and provide homes to local residents..”
