Business
Inland Homes and KCR agree strategic relationship
Inland Homes and KCR agree strategic relationship.
About this update from Kcr Residential Reit Plc
[{"type":"text","content":"\n \nRNS Number : 7591P KCR Residential REIT PLC 31 May 2018 \n\n31 May 2018\n \nKCR Residential REIT plc\n(\"KCR\" or \"the Company\")\n \nInland Homes plc and KCR Residential REIT plc agree strategic relationship\n \nKCR Residential REIT announces that it has established a strategic relationship the (\"Agreement\"), with Inland Homes (\"Inland\"), the leading brownfield regeneration specialist and housebuilder with a focus on the South and South-East of England, to support the delivery of high quality, low-to-mid-priced housing for rent.\n \nAs part of the Agreement, Inland and KCR have identified an initial pipeline valued in excess of £100 million from within Inland's current portfolio, comprising investment properties, units under construction and land with planning consent. Through these transactions, Inland intends to build a long term minority shareholding in KCR, providing Inland with exposure to the UK's fast-growing Private Rented Sector (\"PRS\").\n \nAgreement highlights: \n \n· KCR has the right of first refusal over the initial identified pipeline of Inland assets\n \n· Access to this initial pipeline will significantly accelerate the development of KCR's residential property portfolio\n \n· As well as the purchase of investment properties and units under construction, KCR may acquire parcels of consented residential land with a simultaneous, fixed-priced construction contract being awarded to Inland. This will provide Inland with early realisations and cash flow and give KCR increased visibility over a longer-term pipeline of assets\n \n· Following the sale of an asset to KCR, Inland will have first right of refusal to undertake any associated construction contract, using its rapidly growing Partnership Housing business\n \n· On identification of additional portfolios suitable for the strategic relationship, Inland will not dispose of such assets without first affording KCR a three month period to evaluate the investment opportunity and agree heads of terms\n \n· It is likely that KCR will acquire assets using a combination of cash and equity\n \nThe Agreement supports KC...