Telford Homes disposes of East London build-to-rent development

London-focused residential property developer Telford Homes has sold its Equipment Works build-to-rent development site in East London to a joint-venture formed by Henderson Park and Greystar.

Telford offloaded its interest in the Walthamstow land and the construction of 257 build-to-rent homes for a net consideration of £105.5m.

The AIM-listed outfit told investors the sale was on a forward-funded basis and will comprise an initial land payment followed by regular payments throughout the construction period and a final profit payment.

Chief executive John Di-Stefano said: "We are delighted to have secured another forward-funded, build to rent sale and especially to have further cemented our strong relationship with Greystar.

"This transaction demonstrates our increasing commitment to London's growing build to rent market and underpins our strategy to continue to scale our build to rent pipeline whilst providing certainty over future revenues and cash flows and delivering excellent returns on capital."

As of 1130 GMT, Telford shares had picked up 1.33% to 344p.