Grainger plc has agreed to forward fund and acquire a 259-home build to rent (BTR) development in Derby for c.£37.4m, with St James Securities.

The scheme is part of St James Securities wider mixed-use regeneration of the Becketwell area in Derby city centre. GMI Construction Limited has been appointed as the contractor.

Helen Gordon, Chief Executive of Grainger, said: “This acquisition in Derby is an exciting addition to our growing portfolio of high-quality rental homes in the Midlands, and our first scheme in Derby, a city which meets our strict investment criteria. Demand for high-quality rental homes in the city continues to grow, and this scheme will add greater scale to our Midlands cluster, improving our ability to drive efficiencies while delivering a great service to our customers.”

The build to rent scheme is in an attractive location on Victoria Street, within close proximity to the town centre.