High Street Residential has secured £49.7 million forward funding deal with Cording Real Estate Group.

High Street Residential’s Birmingham development, on the site of the former Kent Street Baths, will be forward funded by Cording Real Estate Group for £49.7 million. Cording, a member of the Edmond de Rothschild Real Estate investment management platform, has secured the fourth site as part of its £400 million Cording UK Residential Investment Fund.

The fund, which invests in the private rented sector (PRS) on behalf of Continental European investors is a key partner for the High Street Group.

The site is in the centre of Birmingham and is located on a 2.2-acre site bounded by Bromsgrove Street, Gooch Street North, Kent Street and Henstead Street. The development will provide retail space, a café, gym, and a residents’ hub along with a minimum of 262 mainly one and two-bed apartments for rent, which may increase to 279 units, subject to planning consent for the additional 17.

Construction, which will be carried out by Nobles Construction, is due to commence on site in January 2020 and is expected to be completed in June 2022.

High Street Residential is part of the Newcastle-upon-Tyne-based High Street Group of Companies. Specialising in PRS, it has announced 12 ventures in major UK towns and cities, with a gross development value of £644 million, creating more than 3,000 apartments.

One of these, in Warrington, was also bought by Cording last December and High Street Group chairman, Gary Forrest, said: “We are delighted to have signed this second agreement, which is further evidence that PRS is here to stay and offers extremely attractive investment opportunities. Almost 19% of the UK population is renting privately and this figure is expected to grow significantly”.