28 July 2020 – In a landmark deal, AIMS Investments has acquired a majority stake in Beech Holdings, a leading UK property developer.
Beech Holdings delivers high quality, market leading residential accommodation in
prime locations. The new partnership
will enable the business to expedite the delivery of over 1,000 apartments in its
existing development portfolio, with a gross development value of around £250m.
The partnership will be the basis for
the roll-out of a larger UK-wide strategy to provide the Beech product to a
wider audience, and the joint venture also includes Manchester
Apartments, the award-winning property management and lettings arm of Beech
AIMS Investments is a family office that manages a globally diversified portfolio
and is one of the largest private and public equity investors in Saudi Arabia.
The deal enables AIMS Investments to continue its long-term commitment to
invest significantly in the UK real estate market.
The partnership between AIMS Investments and Beech Holdings instils confidence in
the private rental sector and is testament to the resilience of the UK property
market in the face of the COVID-19 pandemic. The property market has weathered
the coronavirus storm well and this is due, in part, to the huge demand for
rental property in the UK’s key regional cities.
Abdulaziz Albassam, CEO of AIMS Investments, commented: “AIMS Investments’ acquisition
of a strategic stake in Beech Holding underpins the company’s diversification
plan and its strategy to expand in the UK residential real estate market. After
working with Beech Holdings over the past year and developing a relationship
with the team, we sought to expand our commitment, investing in their people
and talent to form a powerful platform for residential development throughout
the UK market. This investment will enable us to accelerate our strategy in
expanding our footprint to other regional cities in the UK and simultaneously growing
our residential portfolio. Our
investment is a sign of our long term commitment to the UK real estate market
as well as our confidence in the ability of Beech Holdings to grow to become a
major UK residential developer that delivers high quality products to its
Stephen Beech, CEO of Beech Holdings
commented: “Since we first established our close working relationship with
AIMS in 2019, there was a natural progression towards creating a true
partnership. AIMS Investments’ institutional expertise is very much welcomed
and intrinsic to our shared strategy of accelerating our growth across the
UK. The partnership is a good indication
of the strength of the UK property market and we look forward to continuing our
mission together to provide professionals and students with a high standard of
living across the UK.”
One of the high-profile assets included in the new partnership is Beech Holdings’ flagship development, Ancoats Gardens. This comprises of 155, 5-star premium apartments, roof gardens, a gym and shared social spaces. Ancoats Gardens is perfectly geared up for creating a community element that Beech Holdings feels will add value to a tenant’s living experience.
In addition to Ancoats Gardens, phase two of Beech Holdings’ Chester Road
development will now begin. Phase one of the project was completed in 2018,
with the creation of Westpoint, Beech Holdings’ largest development to date.
Set across 15 floors,
Westpoint houses 317 apartments, a shared residents’ lounge and a gym. Due to
Westpoint being in such high demand from tenants and close to full occupancy,
phase two enables the creation of a further 600 apartments with the group’s
Urban Collective development close by.
In addition to the projects creating high quality spaces for tenants to live, the
work itself creates hundreds of jobs in the area for those working across the
The deal between Beech Holdings and AIMS Investments is structured in a way for the
partnership to move forward on a firm footing, well-placed to participate in
the expected strong residential growth across the UK.
The UK property investment market is one of the oldest and safest asset classes in the world. Despite uncertainty caused by the coronavirus pandemic, the market continues to show resilience and strength in the face of prevailing conditions. Recent data from Savills revealed that property prices across the UK are predicted to rise 15.1% by 2024, with North West England leading the way with a forecasted 24.1% rise over the next five years. With a bright future ahead, the North West has shifted focus away from London, showing investors that they can find more reasonably priced property and better yields, not just in the North West, but across other key regional cities in the UK outside of the capital.