Newcastle-based Grainger plc, the UK’s largest listed residential landlord, said it agreed, subject to planning, to acquire a private rented sector (PRS) build-to-rent development at Gore Street, Salford, for £80 million from Euro Car Parks and the English Cities Fund.

Grainger will forward fund the project, UKLP Gore Street Limited — a joint venture between UK Land & Property and Sir Robert McAlpine Enterprises — will develop the site, and Sir Robert McAlpine will also be the contractor.

The site is anticipated to complete in 2020.

It will deliver 375 private rental homes via a mix of apartments and townhouses.

“Greater Manchester is a key target for Grainger’s PRS investment strategy due to its strong economic prospects and growth potential,” said Grainger.

“This acquisition builds on Grainger’s existing investments in the area of over 1,200 rental homes in the North West and its £100 million investment at Clippers Quay in Salford to deliver 614 new rental homes where construction is well underway and first completions are expected in FY18.”

Grainger CEO Helen Gordon said: “We are pleased today to announce this significant £80 million investment to deliver 375 new, high quality, purpose built rental homes in Salford … building on our existing portfolio in and around Manchester city centre and leveraging our operational platform and Manchester regional office.”

Simon Parker, managing director of UK Land and Property, said: “We are delighted that the hard work and support of key partners including Salford City Council, The English Cities Fund and Sir Robert McAlpine Enterprises has contributed to the opportunity for us to develop this high quality landmark scheme for Grainger plc.

“The project will become a focal point to the highly successful Chapel St regeneration initiative in Salford.”