Grainger plc has announced that it has agreed to forward fund a 284-home PRS development, by Panacea Property Development, at Well Meadow in Sheffield for c.£42m.

The site is positioned close to Sheffield city centre and once various conditions has been satisfied, the the transaction becomes unconditional, anticipated in early 2020, the scheme will be fully secured, and construction will commence.

Helen Gordon, Chief Executive of Grainger, said: “We are very pleased to further strengthen our Sheffield presence with this acquisition, which will deliver 284 high quality homes for rent in one of our target cities. With the city centre area undergoing significant regeneration, and housing demand supported by Sheffield’s strong graduate retention rates, we are confident that Well Meadow will prove to be a popular location to live.  Upon completion of this project, Grainger’s Sheffield cluster will comprise 521 purpose-built PRS homes.”

Grainger expects this investment to generate a gross yield on cost of c.7% once stabilised, with practical completion anticipated in early 2022.