Retail giant Unibail-Rodamco-Westfield has moved into the residential build-to-rent sector after forming a new partnership worth €750 million ($1.2 billion) adjacent to Westfield Stratford City in London.

In a tie-up to be called Cherry Park Partnership, it is with the Canadian Public Sector Pension Investment Board and global real estate company QuadReal Property Group.

Construction work is set to start in the second quarter of 2019, with a phased completion and a delivery expected post 2023.

The Cherry Park Development will feature about 1200 new homes with amenities including a residents’ gym, swimming pool, workspace and high-quality public areas. These will be rented instead of owned by tenants.

Once completed it will be one of the largest build-to-rent projects in London.

PSP Investments and QuadReal will each take a 37.5 per cent share in the Cherry Park Partnership, while Unibail-Rodamco-Westfield will retain a 25 per cent share and be appointed the development and asset manager.

Olivier Bossard, group chief development officer at Unibail-Rodamco-Westfield, said the new residential quarter in the heart of Stratford City "is an example of the group’s strategy to significantly increase the densification of exceptional and highly connected retail destinations by adding offices, residential, hotels and other uses, where relevant".