UKREiiF | Heim to back McLaren Living in Leeds

The developer’s 375-home build-to-rent project in the city’s South Bank, consented in 2022, has a funder.

Heim Global Investor is to forward-fund the BeckYard development, to be delivered by McLaren with support from the West Yorkshire Combined Authority.

Construction has begun onsite, with completion expected in early 2027.

Heim, the European residential specialist investment manager announced in April that it had launched a new closed-ended UK residential build-to-core fund targeting £800m of equity commitments which plans to develop 5,000 new mid-market rental homes across the UK.

Now the Oslo-based fund has announced its first investment as BeckYard. The investor was advised by CBRE.

The development marks the first investment, brought forward by UK living specialist developer McLaren Living, combining McLaren’s residential and local expertise with Heim’s expertise knowledge of the residential sector. BeckYard is being built by HG Construction.

The site is in the heart of the South Bank regeneration area, a 10-minute walk from the city centre. Significant public and private sector investment is facilitating the development of the area with 8,000 new homes and 1m sq ft of commercial space.

BeckYard comprises two buildings up to 26 storeys, with completion expected in January 2027. The development is being fully funded by Heim, with grant support from WYCA’s Brownfield Housing Fund.

Key numbers:

• 375 units across two connected blocks ranging from 12-26 storeys
• Unit layout: 200 x one-bedroom, 139 x two-bedroom, and 36 x three-bedroom flats
• 46 parking spaces and 250+ indoor cycle parking
• Planned completion in January 2027

Head of UK investments at Heim Global Investor, Christian Birrell, said: “We are thrilled to announce our first investment for our UK build-to-core fund in Leeds. This project is just the first of many projects we plan to deliver, as we develop a 5,000+ unit portfolio targeting mid-market rental homes across the UK’s key cities.

“Leeds is a strong city with an undersupply of affordable rental homes, and we are delighted to be working with such a strong development partner in McLaren Living. BeckYard marks the first investment in our UK fund, and we are currently looking at an interesting pipeline of deals across the UK”.

Matthew Biddle, managing director, McLaren Living, said: “This is a pivotal moment for BeckYard, through our trusted partnership with Heim we’ve secured forward-funding for a major build-to-rent development in Leeds City Centre. The best locations and cities across the UK Build-to-Rent continues to be a resilient sector and we are committed to working with our partners to deliver our strong pipeline of projects.”