JLL moves into Edinburgh residential lettings with Lochrin Quay
JLL has been instructed as the sole letting and managing agent on one of Edinburgh?s first ever build-to-rent (BTR) schemes, Lochrin Quay.
The instruction is a significant move for JLL, marking the firm?s first foray into the Scottish BTR market and bolstering its offering to institutional clients and developers within the BTR sector.
Located in the Fountainbridge area of Edinburgh, overlooking the eastern terminus of the Union Canal, Lochrin Quay comprises a collection of 113 one, two and four bedroom apartments for rent in Edinburgh. The apartments are available for up to three years? tenancy. The development was recently acquired by Aberdeen Standard for �27.5 million.
Each apartment within Lochrin Quay offers ready-to-move-into fully furnished accommodation, close to all amenities and some of the city?s most popular destinations and places to visit. An on-site resident manager is on hand to support tenants. The train stations of Haymarket (14 mins) and Waverley (24 mins) are both within easy walking distance.
According to a recent report from JLL, Edinburgh rents are set to grow by 17.6% over the next five years (2018-2022) compared to a Scotland-wide increase of 11.5%.
Edinburgh to follow Glasgow?s lead?
While BTR is still a relatively immature sector within Edinburgh, in Glasgow the story is quite different. Around 2,500 units are now in the BTR planning pipeline, with over 1,000 units likely to be completed over the next three to four years. This would represent a huge shift in the Glasgow city centre residential market which, to date, has focused on the build for sale market and the more traditional city centre suburbs rather than the core city centre itself. There are also a further 800 units on sites around the fringes of the core city centre under consideration.
There are three key schemes in Glasgow with planning permission - Holland Park (the former
Strathclyde Policy HQ), by Moda Living and Apache Capital, for 450 units; High Street,
Merchant City, by Get Living, for 727 units; and Candleriggs, by Castleforge Partners Ltd and
Mace Real Estate, for 435 units.
Samuel Winnard, Director of Residential at JLL, said: ?As one of Edinburgh?s first BTR developments, Lochrin Quay is a flag bearer for the sector in Scotland?s capital and we?re delighted to be involved. This is a significant appointment for JLL, underlining our intent to continue investing in Scotland?s emerging build-to-rent sector.?
Jason Hogg, Director of JLL?s Residential team in Scotland, said: ?The rise of build-to-rent is an exciting phase within the evolution of Scotland?s housing market. Lochrin Quay has shown the way within Edinburgh, but in Glasgow, the market has well and truly taken off. Perhaps more important than the scale of the development pipeline is that Glasgow has now attracted operators and investors who are already active in the sector elsewhere in the UK. This is raising confidence in the BTR sector both for Glasgow as well as for Scotland as a whole, and suggests the BTR market in Scotland?s main cities, including Edinburgh, is set to blossom.?