Kirkstall Road scheme: 'Best in class' 618-apartment development in Leeds receives £96.7m cash boost
Nearly £100m has been contributed towards a major new apartment scheme in Leeds that is being developed on the site of a former eyesore.
Work began last month on the 618-apartment development between Kirkstall Road and the River Aire on the site of the former dilapidated Arla Foods building.
Homes England has now announced that they, along with the West Yorkshire Pension Fund (WYPF) and Greater Manchester Pension Fund (GMPF), will provide £97m towards the development.
This is made up of a £91m loan over a four-year term from Homes England, WYPF and GMPF and a further £5.7m grant from the West Yorkshire Combined Authority’s brownfield housing fund.
The scheme is being developed as a joint venture between Barings, a real estate manager, and Glenbrook, a leading UK residential developer, which will retain a stake in the project and act as development manager.
Located on Kirkstall Road, the scheme will deliver 618 one, two and three-bedroom apartments set across five buildings sitting in extensive landscape grounds, including a new public realm, next to the River Aire.
The five-acre site will include over 10,000 square feet of amenity space, including a residents’ lounge, co-working area and gym, two private roof terraces and 3,800 square feet of commercial space. Construction has begun and is expected to be completed by the end of 2027.
Nigel Barclay, director of loans at Homes England, said: “As the Government’s housing and regeneration agency, we are committed to working in partnership with organisations in both the public and private sector, to achieve their ambitions and develop much needed new homes across the country.
“The Kirkstall Road Scheme is an excellent example of how the Agency’s Home Building Fund is delivering in priority regeneration locations whilst supporting small and medium house builders, that are crucial to building a diverse and resilient housing sector.”
Mayor of West Yorkshire Tracy Brabin said: “Devolution is helping us unlock over 5,400 homes for working families in West Yorkshire.
“It is fantastic to see this new, high quality development brought forward from Homes England, West Yorkshire Pension Fund and Greater Manchester Pension Fund.
“Together, we're building a region which everyone can be proud to call home.”
Darren Hutchinson, Head of UK Real Estate Transactions at Barings, said: “The Kirkstall Road scheme represents exactly the kind of high-quality, well-located residential investment we seek on behalf of our partners.
“With the support of Homes England, GMPF, and WYCA, and through our joint venture with Glenbrook, we are delivering a best-in-class residential scheme that will provide much-needed new homes while creating long-term value for our investors.”
Darran Ward, Head of Alternatives at West Yorkshire Pension Fund, said: “We are proud to support this significant investment in Leeds, helping to deliver high-quality, energy-efficient homes that are much needed in our region.
“By working alongside our Northern LGPS partner Greater Manchester Pension Fund, and Homes England, we are demonstrating how collaboration between institutional investors and government can drive local economic growth, create jobs, and provide long-term, sustainable housing solutions.
“This project reflects our commitment to investing in our home market whilst ensuring returns for our members.”