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Grainger posts half-year loss despite strong rental growth

Zainab Hussain — Fri, 15 May 2026 15:30:00 GMT

Build-to-rent (BTR) giant Grainger has posted a £14.6m pre-tax loss in its half-year results despite strong rental growth of 8%.

The BTR landlord posted a pre-tax loss of £14.6m for the six months to March 2026, down from a £74m profit the year before.

The loss was largely due to a 1.1% valuation decline on Grainger’s property portfolio, which the landlord attributed to the “challenging macroeconomic backdrop”.

However, its net rental income grew to £66.1m – up 7.8% on the previous year.

The increase was driven by a combination of a strong lease-up of Grainger’s recent pipeline scheme launches, which contributed £5.7m, along with another year of good rental growth.

Grainger’s overall like-for-like rental growth decreased by 13.9% to 3.1%, down from 3.6% in 2025. The BTR landlord said this was in line with expectations and its long-run average rate of between 3% to 3.5%, which it expects to continue by the end of the year, supported by wage inflation.

Grainger’s BTR portfolio rental growth was 2.9%, down from 3.4% the previous year. Rental growth on renewals also decreased to 3.3%, down from 4.5%, with new lets at 2%, down from 1.8%.

Its occupancy rate fell to 95.9%, down from 98% the previous year.

Grainger said it expects its full-year BTR growth to be in line with its average rate, reflecting normal patterns of seasonality as demand grows into the second half.

The BTR landlord’s finance costs increased by 4.8% to £21.8m, up from £20.8m the previous year. This was caused by one-off costs related to refinancing its bank debt, with benefits of this to be delivered in the second half of the year and beyond, Grainger said.

Grainger’s sales revenue also increased by 25.6% to £58.8m, up from £79m the previous year. Since March, it has exchanged on a further £23m of sales.

BTR now makes up 85% of its operational portfolio. The organisation said it is on track to deliver its targeted earnings growth from its committed pipeline to £60m by the end of 2026 and £72m by the end of 2029.

Helen Gordon, chief executive of Grainger, said: “Earlier this month the new Renters’ Rights Act took effect, which we have supported from the beginning.

“The new legislation strikes a balance between tenant and landlord rights, albeit it is contributing to structural changes in the sector, with smaller private landlords exiting and larger-scale, professional landlords gaining market share.”

Ms Gordon added: “We have limited energy cost exposure, insulating us and our customers from inflationary cost pressures over the coming months.

“We remain focused on our financial discipline and have a clear capital allocation strategy designed to deliver shareholder value, with a focus on reducing net debt from our disposals programme in order to offset higher interest rates as our low-cost debt facilities mature.

“And as we complete our committed pipeline of high quality BTR schemes, our earnings will grow as we leverage our sector-leading operational platform.”

Last week, Grainger Trust, Grainger’s for-profit affordable housing provider, posted a fall in turnover, largely due to fewer shared ownership sales.

In January, Grainger and Transport for London’s property company agreed to forward-fund and buy a 195-home BTR scheme in west London.

There’s never been a better time to bridge the for-profit/non-profit divide

Digby Morgan — Fri, 15 May 2026 09:58:55 GMT

The combination of for-profit capital and flexibility with non-profit experience and expertise could be a game-changer, writes Digby Morgan, partner in the housing and property team at Anthony Collins

For-profit registered providers (FPRPs) have been active in the UK social housing sector since about 2010, and they have evolved considerably since then.

Whereas some early entrants fell by the wayside, others, such as Sage and Legal & General, have grown rapidly to become really significant players and have demonstrated their commitment to developing and providing high-quality, well-run affordable housing.

There were only around 20 FPRPs in 2014; now there are more than 80. They own 1.6% of the total affordable stock, but were responsible for 13% of new completions last year. They are a growing force, however you look at it.

FPRPs are not a monolithic bloc, either. They are quite diverse in nature, with some backed by “patient capital” – institutional investors, such as pension funds. Others are backed by international capital looking for a secure return, or have been set up by house builders to take Section 106 stock. Some have even been set up by non-profit RPs to take advantage of some of the flexibilities they offer.

For non-profit RPs, there was some understandable early wariness. Could you really be a housing association and make a profit?

That has changed and it continues to change as FPRPs become an ever more integral part of the sector. For non-profit RPs, many of which are finding the market especially challenging due to regulatory and cost pressures, now could be a good time to re-evaluate the for-profit proposition and the investment capital that many FPRPs bring to the table.

For agile non-profits, partnering with or even creating FPRPs could unlock rewarding opportunities to offload unviable stock, collaborate in value-generating joint ventures or forge long-term contractual agreements.

“Key to successful collaboration is commonality of culture and objectives. Parties should consider their strategic goals and assess the long-term benefits that collaboration might bring”

Engaging with FPRPs could bring both risks and opportunities for non-profit RPs of course, so it’s important for non-profits to take a step back to ensure they understand how the sector has evolved.

In the early days, most FPRPs were focused on scaling quickly, which usually meant buying existing stock either from other RPs or by buying Section 106 units from developers. Nowadays they are just as likely to be interested in collaboration opportunities where non-profit RPs might be looking to reshape their portfolios, for example, or to develop more social homes to meet growing demand.

Many successful examples of collaboration exist in the marketplace – from creative asset transfers where the non-profit retains responsibility for managing units, to joint ventures focused on delivering large-scale affordable housing developments.

Octopus-backed NewArch Homes acquired 220 tenanted homes in Essex from housing association Chelmer Housing Partnership (CHP) in April 2025. Staff from the non-profit organisation stayed on to manage the homes, protecting the interests of tenants and ensuring continuity of services.

NewArch is a great example of the growth of this part of the sector. It has continued to grow rapidly, and now owns and manages nearly 1,000 homes.

For non-profits considering collaborating with a FPRP for the first time, or even setting up their own, there are many factors to consider. The main one is, “What does the FPRP bring to the table that we can’t do ourselves?” Some key things would be:

Another route to capital other than debt or grant
More flexibility in what they can do
As newer entrants, they are likely to have fewer liabilities in terms of current stock and so more cash to hand

It’s also important to consider how you want to work together. There are broadly two models. The first could be described as ‘transactional’ – a one-off deal, perhaps with a non-profit selling an asset to reinvest or refocus on a different geographical location, and the FPRP acquiring a capital asset and income stream from it.

The second is ‘relational’ – the NewArch-CHP model above is a great example, but we are increasingly seeing more complex arrangements as the market matures.

Key to successful collaboration is commonality of culture and objectives. Parties should consider their strategic goals and assess the long-term benefits that collaboration might bring. Being clear about what each side wants from the collaboration at the outset is critical to a successful outcome.

With new regulation on the horizon, such as the Social Tenant Access to Information Requirements scheme and the Future Homes Standard, collaboration in the sector is bound to play an increasingly important role. The combination of FPRP capital and flexibility and non-profit experience and expertise could be a real game-changer.

All this means there has probably never been a better time for FPRPs and non-profits to explore opportunities to cement their shared purpose and start talking about how they can do things better together.

Digby Morgan, partner in the housing and property team, Anthony Collins

National Housing Bank backs Canadian investor’s UK build-to-rent fund with £100m

Zainab Hussain — Thu, 14 May 2026 10:25:16 GMT

The newly launched National Housing Bank will invest £100m over phases into Canadian property company Starlight Investments’ UK Build-to-Rent (BTR) Fund II.

The equity investment, along with significant commitments from global institutional investors, will enable the development of 6,000 homes.

It also reflects a shared commitment to expanding the supply of rental housing.

The investment is among the first made through Homes England’s newly established National Housing Bank – the government’s new vehicle for long-term place-shaping and housing investment.

Starlight UK’s BTR Fund II builds on the Starlight Investments’ first UK BTR fund and continues the company’s long-term strategy of developing and operating rental housing in structurally undersupplied markets.

Starlight UK, established in 2020, is a residential asset management platform focused on BTR. It has an aim of developing thousands of new homes across major regional cities, including Manchester, Liverpool, Leeds and the London commuter belt.

Starlight Investments has a UK portfolio of 4,000 homes and £1.1bn in assets under management. Its established track record as a BTR operator was a key factor in Homes England’s decision to align with its Starlight UK platform.

The National Housing Bank deploys government-backed capital across funds, platforms and partnerships to unlock housing and regeneration projects and crowd in private capital. Over the next decade, the bank will invest up to £16bn through debt, equity and guarantee products. It also aims to attract over £50bn of private capital.

The National Housing Bank offers partners tailored and blended finance solutions alongside support from Homes England. Its delegations and flexible approach means it can respond with agility to shifting market conditions.

Simon Century, chief executive officer of the National Housing Bank, said: “This is exactly the kind of investment – made through the government’s National Housing Bank – that will help to transform England’s housing market.

“Supporting international capital to commit to building thousands of new homes in towns and cities across the country is a hugely encouraging sign that England’s residential market is open for business and able to attract institutional investment to support growth.

“Starlight’s approach to development, professional management and institutional ownership of mid-market rental housing aligns with our place-based priorities.”

Daniel Drimmer, founder and chief executive officer of Starlight Investments, said: “Building on our expanding UK portfolio, this partnership marks an important milestone as we continue to grow our BTR platform and align private investment with outcomes that benefit local communities.”

In March, the chair of the National Housing Bank told Inside Housing Living that BTR was a “particular priority”.

Last year, Starlight Investments bought 255 BTR homes from house builder Countryside Properties, a subsidiary of Vistry Group. The deal marked Starlight Investment’s 10th BTR acquisition in the UK since it entered the market in 2023.

Why the new NPPF could have a profoundly positive impact on the living sector

Joe Sarling and Anthony Aitken — Thu, 14 May 2026 12:22:52 GMT

A ‘permanent presumption’ in favour of suitably located development has potentially far-reaching implications for housing delivery, write Joe Sarling, head of living research, and Anthony Aitken, head of planning, at Colliers

The government’s proposed updates to the National Planning Policy Framework (NPPF) represent one of the most significant shifts in planning policy in over a decade.

Framed as a move towards a clearer, more rules-based system, the changes are intended to remove ambiguity, accelerate delivery and support the government’s ambition to deliver 1.5 million homes.

Central to this reform agenda is the introduction of a permanent presumption in favour of suitably located development – a change that has potentially far-reaching implications for housing delivery, particularly in well-connected urban areas and for the living sector.

Permanent presumption in favour of suitably located development

The scale of the update and changes to the 2026 NPPF are exemplified by the proposed ‘permanent presumption’ in favour of suitably located development. The government wants to be “crystal clear” about what is acceptable under a new rules‑based approach.

For example, development on urban land will be treated as a default “yes”. Proposals will only be examined further if there is evidence that the negative impacts would substantially outweigh the benefits.

The permanent presumption also allows development that addresses an evidenced unmet need, provided it is well related to an existing settlement and of an appropriate scale, or comprises major storage and distribution development.

It also supports housing and mixed-use development that is within a reasonable walking distance (800m) to railway stations. The latter will derive significant benefits for landowners with sites near to rail stations that are currently outside settlement limits.

Spatial dimension of housing delivery

There will also be a new tiered structure to seek to achieve 1.5 million homes. It is proposed that there will be spatial development strategies (SDS) at a regional level, which will then inform local plans for council areas. These will then feed into neighbourhood plans at a community level. All can form part of the development plan, on which planning decisions are based.

The geography of the new strategic planning authorities will help to address infrastructure requirements that are of regional importance. This is easier to recognise in major conurbations where leading cities come to the fore. The link between SDS and devolution should also be recognised, especially where there is mayoral leadership in place.

The SDS requires to set out a positive approach to delivering growth. This involves providing an appropriate strategy for sustainable development, considering reasonable alternatives, the 10-year infrastructure plan, the national industrial strategy and any relevant local growth plan. Local plans require to generally conform to the SDS.

Opportunities for cities and the living sector

The government sees both housing need and opportunity within cities – the drivers of economic growth. The presumption in favour of development for densification around train stations in cities and well-connected areas provides opportunity for new homes with great proximity to jobs.

This change alone may well have a profoundly positive impact on build-to-rent, co-living and student accommodation sectors. Many people prioritise proximity to transport, jobs, education and leisure, and these changes have the potential to give the sector a demand and supply boost by providing clarity for development.

The opportunity grows if the government can successfully and consistently join dots across its policy and funding areas. Combining the planning changes set out in the NPPF and the Planning and Infrastructure Act with funding commitments such as the £39bn Social and Affordable Homes Programme, National Housing Bank and infrastructure investment, alongside decentralised decision-making through devolution, is a potent mix for opportunity and revitalisation.

Places that can pull on all of these levers and commit to homes across all tenures have the best chance to reduce development risk, attract private investment and drive economic growth.

Things we will be watching throughout this process

The fundamental of development is viability. While greater clarity, and therefore lower risk and cost, is provided with the presumption in favour of development, there will always need to be an open and sensible discussion regarding other factors such as developer contributions.

The proposed NPPF suggests that developer contributions be set at the local plan-making stage rather than the application stage. While this does provide clarity of expectations of local authorities, detailed understanding around design, infrastructure requirements and development phasing that may affect viability would only become clear when proposals come forward.

If the contribution rate remains rigid and without flexibility, it may slow both plan-making and planning process which will increase risk and cost.

There is a real opportunity for the proposed changes to provide much more parity in housing tenure. The specific focuses for new development guidance provide opportunities for the living sector, but there is always a risk that these newer and less-established tenures in the UK are sidelined as officials’ muscle memory of for sale and affordable housing kicks in.

There are mentions of build-to-rent and purpose-built student accommodation in the guidance, but there is an opportunity to enhance their standing further by requiring local authorities fully assess and recognise their importance within plans and decision-making. This won’t only provide greater parity across tenures, it’ll also be a very clear signal to investors that places are actively encouraging living development.

As the UK is so far behind other countries with regards to institutional investment into the private rented sector, this signal of commitment would be welcome and a critical factor in translating policy reform into homes delivered.

Joe Sarling, head of living research, and Anthony Aitken, head of planning, Colliers

Revealed: Heylo set for £289m internal write-down after administrations

James Riding — Fri, 15 May 2026 15:36:18 GMT

Heylo Group expects to take a £289m internal write-down following the administrations of four subsidiaries, reports show.

The shared ownership specialist expects to write off £289.1m in share capital from the collapse of HH No. 1 (HH1), one of its investment vehicles. The figure is an internal write-down within the group, rather than an operational cash loss.

The figure comes from a statement of affairs prepared by the directors of the company for administrators PriceWaterhouseCoopers (PwC).

According to the document, Heylo expect all of HH1’s external debts – to creditors including Homes England, HMRC and the law firm Linklaters – to be repaid in full. If this were achieved, Inside Housing Living understands there would be no impact on the wider group’s operational liquidity, solvency or ability to trade.

However, it is too early to know what the actual dividends to creditors will be as PwC has not yet completed the sale of the homes.

HH1 is one of four Heylo subsidiaries that fell into administration in March. Together they own a third of Heylo’s 10,500 homes, which are expected to be sold to new owners by PwC.

It is understood that residents’ leases and management of their homes remain unchanged.

According to HH1’s statement of affairs published on Companies House, HH1 owned investment properties valued at £506.7m.

Assuming its homes are sold as valued, this would raise enough to pay back the company’s secured debt of £458.6m in full, plus £49.6m to unsecured creditors.

That would leave £41.3m of cash left, which is not enough to repay £330.5m in share capital. HH1’s shareholders are other Heylo subsidiaries, which are ultimately owned by Heylo Group.

The parent company would therefore receive just 12p to every £1 for its shareholding in HH1, meaning the value of its shares will be written off by 88%.

The statement of affairs shed further light on HH1’s creditors, which Heylo assumes will be repaid in full.

HH1’s external debt facility of £458.6m is credited in the report to US Bank Trustees. Inside Housing Living understands that US Bank Trustees did not make any advances, but is acting solely as security agent.

It was previously reported that BlackRock is a lender to the subsidiaries in administration, as well as other large commercial organisations that have significant investment elsewhere in the social housing sector.

Meanwhile, HH1’s biggest unsecured creditor is Homes England. HH1 owes the government’s housing and regeneration agency £46.5m, which Heylo expects will be repaid in full.

Heylo has not received grant from Homes England since 2022, when it was deemed non-compliant by the Regulator of Social Housing.

Elsewhere, HH1 owes HMRC £1.1m and Linklaters £492,836, both of which Heylo expects to repay in full.

Alongside HH1, Heylo published statements of affairs for three other Heylo subsidiaries: HH1 New Holdings, HH1 Holdings and HH5.

HH No.5 owned investment properties valued at £79.9m. Assuming its homes are sold as valued, this would leave a £10.5m surplus once secured debt of £69.9m and unsecured debt of £6.7m is repaid.

Heylo deemed HH No. 1 Holdings and HH No. 1 New Holdings to have an estimated realisable value of £0 because they hold no direct physical assets or cash. These entities sit above HH1 and do not own any property assets directly.

Heylo’s statement of affairs wrote off a significant intercompany loan of almost £36m between HH1 and HH No. 1 New Holdings, which serves as the primary borrower for the external debt facility.

It is understood this intercompany loan arose because HH1 used its property cashflows to directly service the interest and principal payments for the debt held in HH No. 1 New Holdings.

Heylo told Inside Housing Living that its statement is unchanged from when the administrations were revealed in March.

It said at the time: “Heylo Housing is committed to delivering affordable homes across England, in close partnership with local authorities, house builders and investors.

“We can confirm that investment pods HH No.1 New Holdings Limited, HH No.1 Holdings Limited, HH No.1 Limited and HH No.5 Limited have entered into administration, which is being handled by PricewaterhouseCoopers LLP. All other entities within the Heylo Housing Group remain unaffected.

“The team at Heylo is working closely with the administrators, and our customers remain our top priority to ensure a smooth and orderly transition. As this is an ongoing matter, we are unable to comment further at this stage.”

Last month, Inside Housing Living published an in-depth analysis of why the Heylo administrations happened and what might happen next.

Update: at 4:30pm, 14 May 2026

This article originally stated that the document is an administrators’ report and that PwC assumes the creditors will be repaid in full. It was updated to clarify that this is Heylo’s assumption, not PwC’s, because the document is a statement of affairs prepared by the directors of the company. It is too soon to say what the expected dividends to creditors will be as PwC has not yet completed the sale of the homes.

L&G’s build-to-rent fund receives £50m from Scottish government bank

Zainab Hussain — Wed, 13 May 2026 15:00:00 GMT

Legal & General’s (L&G) build-to-rent (BTR) fund has received £50m from a Scottish government-owned bank to support the development of purpose-built private rented homes.

The Scottish National Investment Bank’s participation in the fund aims to attract more capital to the Scottish rental market and help stimulate the pipeline for new BTR development.

The investment will support L&G to expand its presence in Scotland. Previous investments through the fund include a mixed-use regeneration development with 346 homes at Candleriggs Square in Glasgow.

The Scottish National Investment Bank is wholly owned by Scottish government ministers but operates independently from the government.

L&G’s BTR fund incorporates environmental, social and governance (ESG) standards, with targets to achieve net zero operational carbon for all new buildings within its portfolio by 2030. Its buildings aim to achieve an Energy Performance Certificate (EPC) B rating or higher.

The bank said its investment in the fund also aligns with its mission to address Scotland’s housing shortage and support the transition to net zero.

Established in 2020, it provides debt or equity investments to businesses and projects that support the development of the Scottish economy.

The Scottish government has committed to capitalising the bank with £2bn in its first 10 years. Over time, as the bank’s initial investments are repaid, it will reinvest those funds in more businesses and projects, creating a “perpetual investment fund” to support the Scottish economy.

The bank’s participation in L&G’s BTR fund came after the Scottish government laid out regulations under the Housing (Scotland) Act 2025 to exempt BTR and mid-market homes from rent controls earlier this year.

Last month, Inside Housing Living investigated whether making BTR homes exempt from rent controls in Scotland after years of uncertainty is enough to restart the market.

L&G currently has £5bn of assets under management across its housing platform. Through its BTR strategy, L&G has deployed more than £4bn of capital to build more than 10,000 homes across the UK.

Nicola Douglas, executive director of sustainable investment at the Scottish National Investment Bank, said: “High-quality private rental homes are an essential part of meeting Scotland’s housing need and creating thriving places, and the build-to-rent market is an established route to attracting private capital at scale.

“The fund’s focus on delivering high-quality, sustainable homes aligns [with] the bank’s approach, and it supports tenants by offering professionally managed homes that support workforce mobility and a broad range of modern renters’ needs, all while breathing new life into urban neighbourhoods.”

Dan Batterton, head of housing at L&G Asset Management, said: “BTR is a core component of L&G’s wider housing strategy, enabling us to deploy patient, long-dated capital into areas of acute need while delivering resilient, stable returns and enduring social and economic value.

“This latest investment further strengthens the fund’s ability to scale its development pipeline and accelerate delivery, as it continues to see strong interest from investors seeking long-term exposure to the UK rental market.”

In January, the Scottish National Party government announced More Homes Scotland, an executive agency, will be set up next year and will be fully functional by 2028-29.

The agency’s key areas of focus include large-scale affordable housing schemes, and it will work with the Scottish National Investment Bank to “make best use of private finance”.

Developer chosen for University of Bristol’s 890-bed student scheme

Zainab Hussain — Wed, 13 May 2026 14:06:00 GMT

The University of Bristol has chosen a developer to build an 890-bed purpose-built student accommodation (PBSA) scheme.

UPP is the preferred bidder to develop the Temple Island PBSA scheme for the University of Bristol, working alongside contractor Watkin Jones.

The scheme will comprise 890 student bedrooms across three buildings, located at the university’s Temple Quarter Enterprise Campus in central Bristol.

It has been designed by architects Allford Hall Monaghan Morris to feature a range of flexible study areas and social spaces.

The scheme will also target a Building Research Establishment Environmental Assessment Measure (BREEAM) rating of ‘Excellent’ and an Energy Performance Certificate A rating.

It will mainly serve postgraduate students, who typically come to study at the university for one year. The scheme is scheduled to open in 2030.

The University of Bristol will enter into a long-term nominations agreement, with UPP responsible for day-to-day management and operation of the buildings.

Cushman & Wakefield is advising the University of Bristol on the process.

The expectation is for the scheme to become one of the principal student accommodation sites for the University of Bristol within the Temple Quarter area.

It will also support the Temple Quarter Enterprise Campus, a flagship project for one of the UK’s most significant city-centre development programmes, set to open in 2026.

The campus is a £500m development by the university, with the capacity for 4,600 students, 650 staff and 350 partners across new business schools, research hubs and innovation centres.

The development programme will also provide teaching facilities, research labs and collaborative workspace for students, staff and enterprise partners.

Craig Nowell, chief property officer at the University of Bristol, said: “This will be a flagship student residence situated right next to the university’s Temple Quarter Enterprise Campus which itself is opening to students in September this year.

“This new accommodation is an integral part of the university’s commitment to this previously neglected area of the city and will be part of the wider regeneration of the Temple Island area, providing a high-quality home for our students for many years to come.”

Last year, Moorfield Group announced it will partner with Tiger Developments on a £60m student housing scheme in Freestone Road, Bristol. The scheme is a key part of Temple Quarter and is located directly opposite the Temple Quarter Enterprise Campus.

Duke of Westminster’s property company slumps to first loss since 2008

James Riding — Fri, 08 May 2026 15:30:00 GMT

The Duke of Westminster’s property company has slumped to its first underlying loss since 2008 after its North American business underperformed.

Grosvenor, which owns £7.7bn of property, including large parts of Mayfair and Belgravia in central London, recorded a £49.5m post-tax loss in the year to December 2025, compared to a £14.8m profit the year before.

The business wrote down the value of several build-to-rent developments in Vancouver. James Raynor, chief executive of Grosvenor’s property arm, said rising interest rates and construction costs, as well as weakening demand from tenants, had affected valuations.

Mr Raynor added that the value of Grosvenor’s property in the US had been hit by “anti-office sentiment”. The company said it would continue to sell properties in the US over the next three to five years. The proceeds will be funnelled to global joint ventures across student housing, build-to-rent and logistics.

By contrast, Grosvenor’s UK business delivered record revenue profit of £69.2m, up from £51.8m in 2024. The main driver was rental growth from successful leasing and void mitigation.

Grosvenor also provided an update on its for-profit affordable housing provider, Grosvenor Hart Homes, which marked its first full year of operation in September 2025.

The for-profit aims to provide affordable housing with co-ordinated support across employment, mental health and well-being. It operates 69 homes across two sites in Chester and Ellesmere Port with services including family support, mental health and well-being support, job brokerage, employability training, and a business incubator programme.

Tenants reported 100% satisfaction, and 44% were supported into employment. Grosvenor’s aim is to scale the model across the North West to 700 homes.

Meanwhile Mark Preston, executive trustee of Grosvenor, attacked the UK government for floating the idea of a private rent freeze, saying ministers failed to grasp “basic economics”.

Mr Preston told The Telegraph that “interfering” with housing demand will further constrain supply and push rents and values higher, deepening the problems the interventions were intended to solve.

He said: “I don’t understand why that simple, basic economics is not understood better by all forms and colours of government.

“Until they focus on supply – and that means un-gumming the planning system, improving the supply chain, looking at different ways of procurement and also potentially getting involved in housing construction, centrally or locally – this problem isn’t going to go away.”

The Grosvenor chief said that it was not the job of private house builders to solve the country’s housing problem, and that the only periods in which sufficient homes had been built were when central or local governments had taken on construction directly.

Mr Raynor added: “Real estate is an incredibly important sector for the UK economy.

“It is a massive catalyst for growth and growth potential, and it might be more sensible if we encouraged an environment where you felt you wanted to invest in this area to enhance that growth, rather than make people worried about it.”

Grosvenor’s Mayfair estate includes 700 affordable homes, all let to housing association Peabody, and 500 market rent homes.

In 2025, Grosvenor sold a slice of its Mayfair portfolio to Norway’s sovereign wealth fund for £306m. Some of that money has been used to redevelop Grosvenor Square and construct South Molton, a new mixed-use development in the West End that will be completed next summer.

Last summer, Inside Housing visited the South Molton project, which includes the conversion of an 18th century street into 11 new affordable homes.

Student developers secure £250m loan to convert former London office into 875 homes

James Riding — Thu, 07 May 2026 11:00:00 GMT

Developers Dominus and Cheyne Capital have secured a £250m loan to fund the conversion of a former office in central London into an 875-bed student accommodation scheme.

The joint venture secured the financing for its 65 Fleet Street development from British bank Standard Chartered.

The 13-storey scheme will provide 875 student rooms, 35% of which will be offered at affordable rents capped by the mayor of London, alongside private dining rooms, a gym and wellness facilities.

The site is within reach of King’s College London, the London School of Economics and University College London.

Alongside the purpose-built student accommodation (PBSA), the development will provide cultural spaces on the ground and lower ground floors, including the restoration of the Grade II-listed Tipperary pub, London’s oldest Irish pub.

Dominus is also creating improved public access to the Grade II-listed Whitefriars Crypt, the last remaining structure of the 13th-century Whitefriars Monastery.

The retrofit-first development will retain 75% of the existing office structure and is targeting a BREEAM (Building Research Establishment Environmental Assessment Method) Outstanding rating.

Dominus secured Gateway 2 approval from the Building Safety Regulator last year, with construction now underway by main contractor HG Construction. The scheme is due to complete in summer 2028 and be open to students for the 2028-29 academic year.

Once complete, it will form part of Dominus’ operational student portfolio, which includes 2,300 beds currently being delivered across three central London locations: 65 Fleet Street, 65 Crutched Friars and 65 Holborn Viaduct.

Preet Ahluwalia, chief executive of Dominus, said the financing supports “the delivery of a leading student accommodation scheme just minutes from some of the world’s best universities”.

Hamish Gordon, director in Cheyne Capital’s real estate group, said: “We continue to see strong opportunity in London’s PBSA market, driven by growing demand for high-quality, city-centre student accommodation.”

He added that the project “will help meet this demand while adding value to the surrounding community”.

Shane Moore, head of commercial real estate (EMEA) at Standard Chartered, said: “The scheme is well positioned in a supply-constrained central London market, underpinned by sustained demand from one of the world’s leading higher education hubs.

“This transaction reflects our continued support for high-quality developments in the living sector across Europe.”

Eastdil Secured advised on the financing transaction.

Last month, private equity giant Blackstone completed a £562m refinancing of nine UK student accommodation schemes.

IQ Student Accommodation, Blackstone’s student housing company, secured the financing with Japanese bank Mitsubishi UFJ Financial Group to support the upgrade and refurbishment of nine student accommodation sites across the UK, in cities such as Glasgow and Brighton.

Why is this private equity pioneer getting back into build-to-rent?

James Riding — Mon, 11 May 2026 07:20:38 GMT

Moorfield Group sold its multifamily portfolio four years ago, but now it is back with a new scheme in Greater Manchester. James Riding asks its chief executive why he sees fresh opportunities in the market

Moorfield Group is building its portfolio from scratch, again. The private equity investment manager has funded 25,000 rental homes across the UK living sector in the past 30 years – then sold most of them off. It now owns just 2,321 homes, with a further 700 under development.

Last month it completed Podium, a 440-home build-to-rent scheme in Trafford, built in joint venture with Greater Manchester Pension Fund. In 2025 it partnered with Tiger Developments to build a 204-bed student accommodation scheme in Bristol.

It also owns 300 single-family homes, 1,200 student HMO (houses in multiple occupation) beds and an 81-home co-living scheme in Ealing, west London.

Moorfield sees itself as a first mover, taking risks before patient capital had arrived on the stage. So, the fact that it wants to get back into multifamily build-to-rent and purpose-built student accommodation (PBSA) is significant.

As Podium opens its doors, Inside Housing Living meets Charles Ferguson-Davie, Moorfield’s chief executive and chief investment officer, to find out how he plans to stay ahead of the market this time.

“There are very few other UK real estate investment managers that have been in as many of these living sectors as us for as long,” says Mr Ferguson-Davie, who joined Moorfield in 2005 from Lazard’s real estate advisory group. “I can’t really think of anyone else.”

The company started out in PBSA in the late 1990s and built a 5,000-home business called Domain, which it sold in 2007. After the financial crisis in 2008, Moorfield began to snap up blocks of new build flats and convert them into rental homes.

“There was very little residential development going on at all,” the chief executive says, and developers and banks had got stuck with properties that they couldn’t sell.

Moorfield’s first build-to-rent project – although it wasn’t called build-to-rent back then – was Velocity Village in Sheffield, which it bought from administrators. It had been designed for private sale, but Moorfield converted it into a rental scheme.

“I suppose the lightbulb moment was thinking that this was a real opportunity to invest in residential for rent,” Mr Ferguson-Davie says.

“We’d found it hard to compete with the lower cost of capital institutional investors that started coming into the space. It had turned quite quickly to being a really in-vogue sector, and we are a value-add investor”

Moorfield funded the conversion of an office building in Liverpool, The Keel, into rental flats – the scheme opened in 2015 – and went on to do some purpose-built multifamily schemes in Manchester (Duet and Trilogy) and Newcastle.

Then, it sold off the assets within the portfolio to a range of buyers, a process it completed in 2022. (The total value of the portfolio sale has not been disclosed.)

“We’d found it hard to compete with the lower cost of capital institutional investors that started coming into the space,” Mr Ferguson-Davie explains. “It had turned quite quickly to being a really in-vogue sector, and we are a value-add investor.

“We have a certain return criteria we need to invest in anything, and we couldn’t compete with investors that didn’t need such a high return.”

So Moorfield shifted to single-family.

“We’d seen it develop and mature in the US,” the boss says, and Moorfield saw the UK buy-to-let market being targeted by government taxes and the Bank of England, plus the cost of forthcoming environmental regulations.

“We could step in, maybe, do a better job and fill some of that void.”

It started buying individual homes, then shifted to bulk purchases from house builders.

It also began buying up student HMOs.

“The HMO market’s three times the size of the PBSA market… but there’s very little institutional investment or professional investment in student HMOs,” the chief executive says. “We felt that would come too, because investors want to have more exposure to domestic students.”

At a similar time, Moorfield started looking at co-living; it opened its first scheme in Ealing, west London in 2022.

So why does Moorfield see opportunity in these sub-sectors now, if there was none four years ago?

“Because interest rates and yields have reset, and investors are sitting about waiting to see what’s happening in the world, there’s less capital around, and so we can now get a high enough yield on cost for numbers to stack up for us, crudely,” says Mr Ferguson-Davie.

It is a very difficult time for development viability, but that creates its own opportunities.

“There’s very little being built,” he says, “but if you are able to build something now, it will be very special, very rare, and will have scarcity value, both for the customer, but also particularly the investor, which is what we’re really aiming at.”

He defines these potential buyers as “low cost of capital” institutional investors.

“Really what they want, I’ve heard it referred to as ‘elite buildings’,” he says. “It’s actually the very best, that has the latest building safety regulation sign-off, the dual stair-cores, the latest EPC [Energy Performance Certificate] and environmental operational efficiencies, best design, best amenities.”

Rise of the LGPS

Moorfield raises its property funds from investors around the world, including the UK. Typically, these are pension funds, although there are some endowments, foundations and charities.

Occasionally Moorfield brings in a joint venture party when there is a particularly big investment, such as the Greater Manchester Pension Fund on Podium.

“Our investors have historically come from the US, Europe and Japan,” says the chief executive.

“Currently, I would say there’s less appetite from the US because they’re seeing more opportunity to invest domestically, and they have to cater for the currency risk, and they’ve been put off the UK because of all the political upheaval we’ve had ever since Brexit, and our low levels of GDP growth relative to the US.”

There is more appetite from Asia, he says, particularly among institutional investors that are historically less exposed to property and want to increase their weighting. “They’re attracted by the living sectors in particular, comfortable with the inflation-linked cash flows.”

UK investors are entering the space too, including local government pension schemes (LGPS). Last year, Northern LGPS and Local Pensions Partnership Investments bought the 5,478-home PRS REIT single-family portfolio.

Moorfield’s partnership with Greater Manchester Pension Fund is a new relationship; the pension scheme was not already investing in a Moorfield fund before the Podium deal.

The big advantage of local government pension schemes is that they understand the UK, Mr Ferguson-Davie says.

“International investors are generally not so keen to invest in the UK because of the noise since Brexit, and all the political change and our low growth and some of the Labour policies that put people off, and the currency volatility risk.

“LGPS don’t generally have that, and they may even have a mandate to invest locally, and they should have the lowest cost of capital relative to other institutional investors, and they’re pretty active.”

Some of the development viability challenges are unlocked by having LGPS or local authority support, he says.

“It’s not about land value… You often need some measures to help get the project going, and you need a motivated local player to really be behind it. That might be because they own the land, or they’ve provided debt where others wouldn’t, or invest equity alongside you.”

Podium is a good example: it is the first multifamily scheme in the area, near the Old Trafford cricket ground, and the rents will be in the “mid-market zone”.

Single-family

Moorfield’s 300-home single-family portfolio is focused on south and east London, Bristol and, most recently, Alconbury near Cambridge, with an ambition to grow a portfolio in the Oxford-Cambridge Arc.

“We felt that these markets would benefit from strong population growth and economic growth, good transport links and a general strong appetite for renting, and that we could create coherent clusters that would help with management efficiency, but also create a portfolio that could be sold to an investor in future,” says Mr Ferguson-Davie.

Moorfield has not yet decided when to sell the portfolio. “We’re still in the build-up phase, trying to grow it,” he says. “We’ll see what the investment landscape is like, and what the requirements are in terms of scale, as to whether we keep growing or we sell it in the future.”

No one in the UK owns more than 10,000 single-family homes, he says, “which is tiny compared to the US and really only just beginning to scratch the surface. If you think there are five million renters, you ought to have bigger portfolios than that.”

Co-living and discount market rent

Moorfield sees co-living as a “hybrid middle ground” between multifamily and PBSA.

“What we’ve done in Ealing, and would do again, is essentially a sort of studio, student-type product with your own ensuite and your own kitchenette, and then shared amenities and facilities that go beyond that, kitchens, living rooms, co-working space and beyond, that is available to not just students, but everyone.

“You get a whole range of different people wanting to live there, from students through to graduates and young professionals, through to much older people who enjoy the fact that they can live very centrally.”

The Ealing scheme includes some discount market rent (DMR), which many developers are keen to build instead of, or in addition to, the more established and regulated affordable housing tenures, such as social rent or affordable rent.

“I like DMR,” says the chief executive. “I think there should be more DMR in multifamily as well. Maybe even PBSA.”

The problem with “really high” levels of affordable housing, he argues, is “it pushes the developer to really max out on the bit that’s not affordable, to pay for the affordable bit”.

“So what you see in London over the last decade is basically anything new that was designed for off-plan sales to international investors, not actually the domestic, local market.”

Government policy

Talk to a big multifamily landlord right now and the conversation can get extremely gloomy.

Dan Greenslade, chief financial officer at Get Living, told Inside Housing Living in March that his latest scheme in Elephant and Castle would not be possible to build in today’s economic climate and “I don’t think we would be able to do anything like this anymore”.

Is government restricting the growth of build-to-rent as a tenure?

“It’s just the mixed messages that come through,” Mr Ferguson-Davie says. “It’s successive governments, not just the current one, where there seemed to be some in favour of promoting it as a concept, and understanding that there’s a huge amount of institutional capital, domestic and international, that wants to invest in it, and that therefore could really help create more houses.”

However, he continues, “there’s always someone else in government who thinks that actually, homeownership should be what is prioritised, and incentives are introduced for that side of the tenure option”.

Build-to-rent should not necessarily have a better treatment, he says, but it should be encouraged with “fewer taxes generally, fewer regulations, fewer barriers to entry, which make it more expensive to build”.

Why the Renters’ Rights Act affects social landlords too

Sam Coward and Meadow O'Connor — Fri, 08 May 2026 08:09:24 GMT

Registered providers with market rent homes are already subject to the new legislation, and social homes will follow next year, write Sam Coward, partner and Meadow O’Connor, associate in the property disputes team at Trowers & Hamlins

The Renters’ Rights Act 2025 came into force for the private rented sector on 1 May. It has been well publicised that its application to the social housing sector will follow later (currently expected in October 2027), to allow time for consultation and for the introduction of a new tenure direction to the Regulator of Social Housing (RSH).

However, not all housing provided by registered providers (RPs) of social housing falls within the statutory definition of “social housing”. As a result, some RPs’ tenures may be covered by the act from May 2026.

Here we examine the meaning of “social housing”, consider common RP tenure types and outline the implications of the phased implementation.

What is social housing?

The Renters’ Rights Act 2025 defines a “social housing assured tenancy” as “an assured tenancy of social housing (within the meaning of Part 2 of the Housing and Regeneration Act 2008)” where the landlord is an RP. This includes “low-cost rental accommodation”.

Section 69 of the 2008 act provides that accommodation is “low-cost rental accommodation” where:

(a) it is made available for rent,

(b) the rent is below the market rate, and

(c) it is made available in accordance with rules designed to ensure that it is available to people whose needs are not adequately served by the commercial housing market.

For RPs, accommodation let at social or affordable rent will clearly meet this definition. Rents are regulated and set below market levels, and tenant eligibility criteria generally reflects an inability to access suitable housing in the private market.

These properties will therefore fall within the definition of social housing and will not be affected by the reforms until the later commencement date.

What is not social housing?

Where RPs have properties let at a market rent, these will be outside the definition of social housing. The rent is typically set according to the open market and is not subject to regulatory controls or allocation rules, so does not meet the “social housing” definition.

Therefore, any RPs with market rent stock should consider their position following the changes that came into force on 1 May 2026, as these apply even though the landlord is an RP.

Many RPs also offer accommodation where the position is less straightforward.

Specialised supported housing (SSH) is expressly excluded from the Rent Standard, meaning rents are not regulated by the RSH. Rents are often higher than for comparable general needs accommodation, reflecting the level of specialist support provided.

Nonetheless, SSH is a form of “supported housing” which imports the need to be “low-cost rental accommodation” and therefore to be let below market rent, and tenants are typically individuals whose housing needs are not adequately met by the commercial market. However, each scheme will need to be assessed on its particular facts, especially where meaningful market rent comparisons are difficult to identify.

Some RPs will also manage a range of tenancies where an intermediate rent is payable, such as rent-to-buy products. Intermediate rents are set below market levels and as such most products where an intermediate rent is charged are likely to satisfy the definition of low-cost rental accommodation. They will therefore fall within the definition of social housing, although each type of tenancy and scheme will need to be assessed on its particular facts.

Consultation

On 2 April 2026, the government opened consultation on a proposed new tenure direction to the RSH, which would require the regulator to issue a regulatory standard relating to tenure, that takes into account the Renters’ Rights Act 2025.

The new standard would apply to “low-cost rental accommodation”, unless specifically exempted, as is currently the case for some tenures. The consultation runs for eight weeks until 28 May 2026.

The draft direction emphasises that RPs should generally grant the most secure form of tenure available. It also addresses the future use of fixed-term tenancies. While these will continue to be permitted for local authorities, the Renters’ Rights Act 2025 currently prohibits them more generally. It remains unclear whether a specific exception for social housing may yet be introduced.

Considerations for RPs

RPs with market rent stock will need to ensure they are compliant with the Renters’ Rights Act reforms that came into force on 1 May, including compliance with new procedural requirements such as the service of prescribed information on tenants.

RPs should also review other tenure types within their portfolios to ensure they can clearly determine whether each falls within the statutory definition of social housing now that the legislation has been implemented for private rented stock.

Sam Coward, partner and Meadow O’Connor, associate, Trowers & Hamlins property disputes team

Patrizia’s Gus Wiseman: Can pension funds help young savers with their housing crisis?

Gus Wiseman — Thu, 07 May 2026 21:45:11 GMT

Gus Wiseman joined Patrizia this year from the UK government’s Office for Investment. He explains how pension capital could play a more visible role in shaping the housing in which young savers live

For a younger saver in the UK today, the financial system can feel distant from everyday reality. Contributions are made automatically, invested out of sight and tied to a future that feels far removed from present-day concerns.

At the same time, many of those same individuals are navigating a housing market where affordability is stretched and long-term security is increasingly uncertain.

The contrast is hard to ignore; the system designed to support people later in life is largely disconnected from one of the most immediate financial pressures they face today. Yet the capital being accumulated through pension savings has the potential to play a far more visible role in shaping the housing and communities in which those savers live.

There is an opportunity to bring these two perspectives closer together. The UK has one of the largest pools of pension capital in Europe, much of it allocated with a long-term horizon. Within that, local government pension schemes (LGPS) represent a significant and increasingly influential source of investment in real assets.

Recent policy initiatives, including the Sterling 20, reflect a growing focus on how domestic pension capital can be directed towards housing, infrastructure and other forms of productive investment.

At the same time, the country continues to face a persistent shortage of housing, particularly in the affordable and social segments, alongside a broader need for investment in infrastructure and community development. These challenges are often treated separately from questions of capital allocation, yet they are closely related.

Housing and infrastructure are long-duration assets that can generate stable income over time, making them well suited to pension liabilities. They also shape the built environment in ways that are visible and widely felt in local communities.

For pension funds, including LGPS, this creates a clear investment case. For the wider economy, it offers a means of addressing structural imbalances that have developed over many years.

This is particularly relevant in the context of place-based investment. Many LGPS funds already allocate capital within the regions their members live and work in, supporting local housing, regeneration and infrastructure projects. When done well, this creates a clearer line of sight between pension savings and tangible outcomes in the communities those savers are part of.

From the perspective of younger savers, the connection is more direct than it might initially appear. Pension contributions made today can, if allocated appropriately, support the development of housing and infrastructure that people rely on throughout their lives.

In a context where homeownership is less accessible and renting for longer is becoming more common, the idea that pension capital can contribute to improving housing availability and quality has a certain immediacy.

None of this changes the fundamental objective of pension funds, which is to deliver strong, risk-adjusted returns over the long term. However, it does highlight that financial performance and real-world outcomes are not always in tension; in some sectors, they are closely aligned.

“Pension capital can support both retirement outcomes and the development of housing and infrastructure that the country needs”

If that is the case, it raises a broader question about how the system is understood by those who participate in it.

Many UK pension funds are already placing greater emphasis on member engagement and communication. The way pension saving is presented to individuals often focuses narrowly on contributions, balances and projected retirement income. Less attention is given to how that capital is deployed and what it enables in practice.

Greater transparency in this area could have value beyond improved understanding. For pension providers, master trusts and public schemes, communicating more clearly about where capital is invested and the role it plays in the real economy may help strengthen engagement, particularly among younger cohorts.

This is not about reframing pensions as an impact product, but about making the connection between long-term saving and long-term investment more visible.

The UK has a significant opportunity to align these dynamics more effectively. Pension capital can support both retirement outcomes and the development of housing and infrastructure that the country needs.

Ensuring that this connection is better understood may help make long-term saving feel more relevant to those whose participation ultimately underpins the system.

Gus Wiseman, director, UK product, Patrizia

For-profit Zen Housing buys 767 affordable homes from house builder

James Riding — Thu, 07 May 2026 07:00:00 GMT

For-profit registered provider Zen Housing has bought 767 affordable homes from a house builder.

Zen Housing has exchanged contracts with Vistry to build the homes in a series of forward-funding deals on 12 sites.

The homes will be managed by Zen Living Management, an operating business that manages homes on behalf of for-profit registered providers.

Zen Housing is backed by European investment manager Tristan Capital Partners. Tristan has its headquarters in London and is an affiliate of New York Life Investments. The company was founded in 2009 and has €15bn (£13bn) in total assets under management.

Vistry said the deals bring together the house builder’s “national scale and delivery expertise”, Zen Living Management’s affordable housing operating platform and the “long-term institutional capital and investment strategy” of Tristan Capital Partners’ EPISO 6 Fund.

The house builder added that the organisations “share a clear ambition” to accelerate the delivery of “high-quality, affordable homes”.

Stephen Teagle, chief executive for partnerships and regeneration at Vistry, said: “This agreement is a strong example of how effective partnerships can unlock delivery at scale through investment across multiple sites.

“There is a clear and pressing need for affordable housing across the country, and by working with partners who share our ambition, we can help address the affordable housing crisis and make a meaningful difference in communities nationwide.”

Kristian Smyth, managing director for investments at Tristan Capital Partners, said: “This is a landmark deal with a leading UK provider, underlining the important role that private capital can play in the delivery of critical housing across England at a time when the gulf between demand and supply is most pronounced.

“Working with prominent house builders on a programmatic basis, we are focused on continuing to deliver high-quality, social and affordable homes that support long-term sustainable communities.”

Tom Walsh, co-founder of Zen Living Management, said: “This transaction is a strong validation of our model: a regulated, for-profit operating platform that brings together blue-chip house builders and institutional capital to deliver affordable homes at scale.

“Vistry needed a counterparty with capital, national reach and execution certainty. Zen exists to be that counterparty, working with capital partners such as Tristan to deploy across multiple programmatic relationships in the sector.”

Mr Walsh said in February that Zen Housing expects to commit to around 5,000 homes this year. He added that affordable housing offers “the best risk-adjusted returns I’ve ever found”.

Vistry owns its own for-profit registered provider, Linden First. Last year Inside Housing Living revealed that the FTSE 250-listed developer is looking for an investor to acquire an interest in and fund Linden First.

The chosen partner will take on a majority share or full ownership of Linden First and finance a pipeline of new homes, which would be built by Vistry and owned by the for-profit provider.

Turnover falls at Grainger’s for-profit provider due to lower shared ownership sales

James Riding — Thu, 07 May 2026 13:53:26 GMT

Turnover and profits fell last year at Grainger’s for-profit affordable housing provider.

Grainger Trust, which owns and operates the affordable housing within Grainger’s wider build-to-rent schemes, posted turnover of £14.8m for the year to September 2025, down 6% from the year before.

The for-profit slumped to an operating loss of £384,469, compared with a £13.8m operating profit in 2024. Administrative expenses rose 30% to £1.1m, while the landlord booked an £8.2m fair-value loss on investment property.

However, total comprehensive income for the year after valuation movements and tax stood at £19.5m, up from £11.3m in 2024, driven by £5.8m of unrealised gain on revaluation of homes.

Inside Housing Living understands the reduction in turnover reflects Grainger’s programme of shared ownership sales. The for-profit added that it exceeded its shared ownership sales budget for the year by £500,000.

Increased spending on repairs and day‑to‑day maintenance reflected strengthened regulatory and consumer standard requirements, as well as the natural maturity of homes. Key Grainger Trust sites such as Wellesley and Berewood in Hampshire are now over 10 years old.

Grainger Trust was established in 2012 as one of the first for-profit registered providers. As of September 2025, it had 1,226 homes under management across five sites, plus a further seven leasehold properties paying ground rent.

In the last 12 months, Grainger Trust delivered 201 new affordable homes, up from 122 in 2024. The new homes include 158 affordable rent homes and 42 shared ownership homes located across the Wellesley and Berewood schemes, as well as Cobalt House in Bristol, part of Grainger’s Glasshouse Square build-to-rent development.

In January 2025 Grainger Trust underwent its first regulatory inspection by the Regulator of Social Housing, and was awarded C2 for consumer standards, G2 for governance and V1 for viability.

The for-profit achieved overall 73% tenant satisfaction for the year across all its homes, up 2% from the year before.

Tenant satisfaction for rental homes was 80%, down from 85.1% the previous year, while satisfaction for low-cost homeownership was 56%, up from 45% in 2024.

The for-profit plans to invest in more affordable homes during 2026 and will fund this through profits from other development sites and further investment from its parent company. The landlord aims to integrate affordable housing within its build-to-rent schemes and operate ‘tenure-blind’ to deliver high customer satisfaction.

Grainger Trust’s parent company will announce its half-year results for the six months to 31 March later this month.

Grainger is the UK’s biggest build-to-rent landlord, with a portfolio of 14,400 rental homes, of which 9,900 are operational. In January, billionaire Mike Ashley acquired a 3.1% stake in Grainger.

For-profit Preferred Homes reveals plans for 154 extra-care homes

Zainab Hussain — Wed, 06 May 2026 14:01:59 GMT

For-profit registered provider Preferred Homes has revealed plans for 154 extra-care homes in the South of England.

Alongside plans at two recently acquired sites in Crawley and Exeter, the extra-care specialist has also secured planning approval for 82 homes in Bicester, Oxfordshire and 74 homes in Camborne, Cornwall.

In Crawley, Preferred Homes has acquired the former St Catherine’s Hospice site and has recently submitted a planning application for 83 affordable flats.

The flats will be allocated through a nomination agreement with the local adult social care commissioning authority.

The site will also be the for-profit’s first development for residents of all ages with care needs.

In Exeter, Preferred Homes has exchanged contracts to acquire a former leisure centre site owned by Exeter City Council.

Preparations are underway to submit a planning application for 71 extra-care homes, which will help to satisfy the requirement for much-needed supported housing within the city, the for-profit said.

The site on the outskirts of Bicester town centre, at Kingsmere, is currently undergoing regeneration to provide new homes, schools and recreational areas for the local community.

In Camborne, the for-profit has secured planning permission for 74 extra-care housing flats. The site forms part of the former Cornwall Council offices and car park on Dolcoath Avenue.

It has worked with Cornwall Council through the pre-application stage, with the council set to commit to a 25-year nomination agreement at the scheme.

The acquisition also marks Preferred Homes’ first site in the South West of England.

Preferred Homes became a for-profit registered provider in 2020. It is backed by an £100m equity commitment from Teachers Insurance Annuity Association, the US teachers’ pension fund.

It is investing £100m in affordable rent homes for older people, with a long-term ambition to invest £1bn. Preferred Homes plans to provide up to 50 developments over the next seven years, focusing on areas across England with the greatest need for affordable housing and care provision. In the South of England, the for-profit plans to provide over 300 homes.

It already has two open schemes in Leeds and Telford, with its third scheme in Hucknall, Nottingham, set to open this year.

Its schemes all feature shared facilities including community cafes, smart home and assistive technologies, communal gardens and car parking. They also achieve the design principles of the Housing our Ageing Population: Panel for Innovation (HAPPI).

Findlay MacAlpine, chief executive of Preferred Homes, said: “Our developments are meeting a critical need for suitable housing and effective care for our ageing population.

“It’s great to see local authorities recognising this and a wider awareness building around the importance of affordable extra-care housing for rent.

“We’re now operating nationally and working closely with councils to identify areas where extra-care housing can make the biggest impact.”

Last year, Inside Housing Living interviewed Mr MacAlpine about Preferred Homes’ growth plans and US backers.

Dubai-based developer secures £152m loan for 251 homes in north-west London

Zainab Hussain — Thu, 30 Apr 2026 13:30:00 GMT

Dubai-based developer Arada has secured a £152m loan to build 251 homes in north-west London.

Arada London, the UK arm of UAE-based developer Arada, secured the loan from asset manager ICG Real Estate.

The loan will fund the acquisition and development of two residential buildings located at 100 Avenue Road in Swiss Cottage, north-west London.

The buildings will be located in an upgraded public square adjacent to Swiss Cottage Underground station, the Hampstead Theatre and the Swiss Cottage Leisure Centre.

There will be a 25-storey tower comprising 172 for-sale homes, with access to amenities including a concierge, gym, pool, golf simulator and co-working space.

There will also be a separate five to seven-storey block comprising 79 homes for social rent and three retail units.

Arada London has already received planning consent for the two buildings, and construction has already begun. Work is expected to complete in autumn 2028.

This is the third transaction between ICG’s real estate credit business and Arada London.

ICG has previously provided financing to Regal for two London projects prior to its acquisition by Arada.

Arada, owned by Middle Eastern royals, acquired a 75% stake in London house builder Regal for £230m last year and renamed it Arada London.

It plans to invest an additional £270m, to treble Regal’s pipeline to 30,000 homes over the next three years.

Currently, Arada London has a pipeline of more than 15,000 homes.

ICG is a global alternative asset manager, and as of 31 December 2025, has $127bn (£94bn) in assets under management.

Jai Patel, managing director at ICG Real Estate, said: “The development is strategically located in Swiss Cottage, which has a global reputation for being a highly desirable residential area with excellent transport links and easy access to Hampstead Heath, Regent’s Park and several of London’s top schools.

“This scheme will deliver an attractive turnkey product into a highly supply-constrained submarket, alongside a significant affordable housing provision that will serve both domestic and international residents.”

In March, Legal & General (L&G) bought 200 affordable homes at a south London regeneration scheme being built by Arada in a £46m forward-funding deal. All 200 of the affordable homes will be let at social rent and owned by L&G’s for-profit registered provider.

Arada London told Inside Housing Living at MIPIM in March that it does not plan to develop build-to-rent (BTR) schemes and will focus on building for sale and developing co-living schemes. Arada London also said that it would consider moving into shared ownership.

In December last year, Arada London unveiled plans for its first co-living project in south London.

Shaun Holdcroft and Andy Hulme lift the lid on L&G and Hyde’s for-profit affordable housing partnership

James Riding — Thu, 07 May 2026 08:07:15 GMT

Legal & General’s head of affordable housing and Hyde Group’s chief executive tell James Riding about their joint venture model – and why other landlords should replicate it. Photography by Julian Anderson

You’d expect Shaun Holdcroft and Andy Hulme to talk about how much their two organisations have in common, given that they have just launched a for-profit affordable housing partnership.

You might not expect that these commonalities stretch to the uncanny proximity of the two men’s upbringings.

Mr Holdcroft, head of affordable housing at Legal & General (L&G), and Mr Hulme, chief executive of Hyde, were born within a few years of one another. They both grew up in Stoke-on-Trent. They attended the same college (Stoke-on-Trent Sixth Form). They even frequented the same local pub, called The Jester.

The two bosses only found out that they come from such a similar background last year, when discussions were already underway between L&G and Hyde on their housing joint venture. Now, they can’t stop talking about it.

As we sit down to talk in L&G’s Farringdon office, Mr Hulme brings up their latest discovery: “I think we’ve established that Shaun’s dad used to be my nan’s milkman.”

After a detour into the topic of Stoke nightlife in the 1990s, we turn to the housing partnership, Halesworth Lanecroft Partners Holdco.

It launched in March, when Hyde made an initial stock transfer of 1,000 homes into two for-profit providers jointly owned by Hyde and L&G. The for-profits are called Halesworth and Lanecroft, named respectively after the streets on which Hyde and L&G’s first homes were located.

Mr Holdcroft and Mr Hulme see the transaction as a step towards a bold new future that allows private capital to pour into the financially stretched social housing sector, while ensuring housing associations retain a stake in their homes.

L&G hopes it is a model that can be replicated by itself and other institutional investors. If all housing associations transferred 35% of their homes to for-profit partnerships, it said in a white paper published this week, this could unlock the private capital to deliver an additional 185,000 affordable homes over a decade.

In short: there is a lot riding on this deal.

Mr Holdcroft and Mr Hulme want to convince more sceptical housing associations, some of which are not yet on board with the idea of stock transfers to for-profit providers, that this new model is a win-win.

They must also prove that their partnership can extend beyond relatively new build occupied homes into the more complex terrain of retrofit. Whatever happens, the journey of these two Stokies will be interlinked for some years to come.

The homes in the initial stock transfer were all built in 2017 or later. They are a mix of shared ownership and social rent, spread across London and South East England from Brent to Kent. The ultimate goal of the partnership is to own more rental homes than shared ownership.

“Inevitably, lots of people will be interested in ‘how have we created a structure? How have we managed to get the financing to work?’,” Mr Holdcroft says. “But that wasn’t where the conversation started from. The conversation started from ‘how do we do more for customers?’”

“Every hurdle that came up, every curveball that came in, as happens in negotiations and processes, we just got through collaboratively,” says Mr Hulme. “Cost of funding has been jumping around and things. And actually, not once have we deviated or questioned what we were doing.”

It helps that the two organisations already “speak the same language”, he adds.

“Shaun used to work for Hyde back in the day. We’ve worked together before, some of our colleagues now work here [at L&G]… We’ve got the same alignment of values, of principles.” Mr Holdcroft was director of London resident services and portfolio management at Hyde from 2012 to 2016.

“Every hurdle that came up, every curveball that came in, as happens in negotiations and processes, we just got through collaboratively”

The organisations were in discussions for about six months before the deal was announced and the two leaders sat down together for the first time three months in.

Both L&G and Hyde have worked across the for-profit/not-for-profit divide before. For the past two-and-a-half years L&G has set a goal of partnership working across the social housing sector; its affordable homes division has already acquired a total of 440 existing homes from housing associations CHP and Orbit.

Hyde, meanwhile, has an ongoing shared ownership partnership with asset manager M&G, and originally set up its for-profit provider Halesworth as a joint venture with insurer Axa.

“We bought [Halesworth] back in anticipation of this, because it gave us the vehicle, it gave us that ready-made model,” Mr Hulme says. “That’s one of the reasons we were able to transact quickly.”

Under the initial transfer, Hyde has sold 1,000 occupied homes to Halesworth and Lanecroft – two for-profit providers that are now jointly owned by L&G and Hyde. The two for-profits have the same board directors but they allow the jointly owned homes to be separated by tenure into social rent (Halesworth) and shared ownership (Lanecroft).

The structure of the funding means Hyde, as the housing association, gets around 75% of the receipts of an outright sell-off. The proceeds are funded by 50% of long-term debt funding from L&G and 50% equity funding, split 50/50 between L&G and Hyde; Hyde then reinvests around 25% of proceeds. (The value of the deal has not been disclosed publicly).

Hyde also retains some income from the homes and continues to manage them, including through its subsidiary, Pinnacle Group.

I ask Mr Hulme about the attractions of the deal for Hyde, assuming he will mention the retention of partial ownership as a key upside for the housing association. His answer is unexpected.

“I’m of the view that we don’t need to own homes,” he says. “Our job as a social housing charity is not to own as many homes as possible. It is to support people living in as many homes as possible. And that means, if we can deliver more homes… and do that by partnering and working with people using their money, that’s a better outcome.”

If Hyde doesn’t need to own homes, why doesn’t it sell them outright to L&G? “Make me an offer,” Mr Hulme says with a smile. “Candidly, I’d be open-minded to that.”

But he admits that ownership allows the housing association to raise finance against its homes.

“We will always own homes, [but] we will never have sacred cows,” he says. “I’m interested in owning the right homes for today’s needs. And if that means we sell some and we buy some more, or we build some more, or we partner, I’m OK with all of that.”

He sees Hyde as a “newer” social landlord, open to different ideas (it is almost 60 years old, but that pales in comparison with some housing associations, such as Peabody, which dates back to Victorian times).

“I would never criticise some of our sort of big G15 partners… who predominantly own their homes. They’re wonderful institutions,” he says. “There’s a place for all of us.”

What does Mr Holdcroft see as the benefits of the deal from L&G’s viewpoint?

“We like the fact that Hyde wants to be in the partnership,” he says. “Pretty much everything we’ve built here at L&G is built on the basis of partnerships,” including the way the asset manager stewards capital from local government pension fund partners into social housing through its affordable housing fund.

Why are we not building more discount market rent?

Olivia Harris — Wed, 06 May 2026 13:27:37 GMT

Politicians are showing appetite for intermediate rental homes, but flexibility is key to getting them built, writes Olivia Harris, chief executive of housing charity Dolphin Living

The introduction of the Key Worker Living Rent tenure by the mayor of London reflects a growing recognition that London’s housing system needs to do more for those who fall between social housing and the private rented sector.

As with much of London’s housing debate, the challenge is not policy intent, it is delivery. At a local level, boroughs are facing acute financial pressure, driven in large part by the rising cost of temporary accommodation. In that context, it is entirely understandable that many prioritise social housing delivery as the most immediate response to those in the greatest need.

With a record 73,000 households in temporary accommodation and over 336,000 on social housing waiting lists in 2025, and just 3,991 affordable homes started in London in 2024-25, the second-lowest figure since records began, it is clear why the focus is on crisis response.

However, this fails to recognise the viability challenges of delivering homes at social rent and ignores the widening affordability crisis in the housing market for households who do not qualify for social housing yet cannot afford market rents. At Dolphin Living, we see first-hand in our day-to-day work the increasing impact of the rising cost of housing for low and median earners.

A growing proportion of households in the private rented sector, particularly working families, can afford some rent but not full market rent. The answer for these households is discount market rent (DMR). Dolphin Living is among the pioneers of DMR in London, setting rents at an average discount of 47% to market rents.

In setting rents, we are mindful of low and median earners as we aim to provide genuinely affordable options for households who would otherwise struggle in the private rented sector. We prioritise applicants with the greatest housing need, with the lowest household income, who can still afford the rent. In doing this, we are helping to prevent the households most in need from reaching the crisis point of homelessness.

This preventative role of DMR is often overlooked. Homes at below market rent made available to low and median earners can reduce the risk of rent arrears, eviction and ultimately homelessness, easing pressure on local authority resources that are already under strain.

If DMR is to play a more meaningful role, there are structural barriers that need to be addressed, such as how policy is applied in practice. Under the National Planning Policy Framework, build-to-rent developments are required to remain under single ownership.

At the same time, there can be an expectation from some local authorities that any affordable housing, including DMR homes, is owned or managed by a registered provider. These approaches do not always align and can introduce unnecessary complexity into delivery.

Our experience suggests that DMR does not always require a registered provider. Where homes are owned and managed by a professional landlord with a long-term interest in the asset, strong management standards and positive tenant outcomes can still be achieved. Greater flexibility in how DMR is owned would help unlock more homes.

Funding also remains a constraint. While DMR sits within the definition of affordable housing, it has not historically benefitted from the same level or consistency of grant funding as other tenures.

This has a direct impact on viability, particularly in London where delivering even discounted rents significantly impacts financial viability. The introduction of funding to support key worker housing is a positive step, but if DMR is to be delivered at scale, more funding for the wider DMR tenure is required.

This leads to a more difficult, but necessary, conversation around tenure mix. Social housing must remain a priority, particularly given the scale of need, but in the current viability climate, maintaining rigid tenure requirements risks preventing new homes from being delivered.

In some cases, introducing DMR, either alongside or in place of social housing, may unlock delivery. This is about maintaining, not reducing, the overall number of affordable homes, while enabling development schemes to move from consent to construction.

As we have seen elsewhere in the housing market, flexibility is often the key to unlocking delivery.

DMR should be viewed as part of a broader and more balanced housing system, one that reflects the range of needs across London’s population. There is clearly appetite for DMR from both policymakers and developers; the challenge now is to ensure that policy, funding and delivery models are aligned in a way that allows it to scale.

With alignment we can realise the opportunity to deliver more homes, and to support the growing number of Londoners who are priced out of housing, yet too often overlooked by policy.

Olivia Harris, chief executive, Dolphin Living

Build-to-rent landlords describe talk of rent freeze as ‘reckless’, saying it would ‘shrink confidence’

James Riding — Wed, 29 Apr 2026 13:14:55 GMT

Build-to-rent landlords have hit back at reports that chancellor Rachel Reeves is considering a one-year rent freeze on private homes, describing the rumour as “reckless” and saying it would “shrink confidence” in the sector.

Large landlords told Inside Housing Living that rent freezes “don’t work” and would “shrink confidence” in the build-to-rent sector even if new build homes were granted an exemption.

Reports emerged in the Guardian on Monday that Ms Reeves was considering a temporary rent freeze to help hold down the rising cost of living triggered by the Iran war.

Landlords in England would be banned from raising rents for a limited period under the proposals, which are being debated within government as part of a cost of living package to be launched in the coming weeks.

The chancellor is expected to exempt new build properties from the freeze to encourage developers to keep working on new schemes.

Helen Gordon, chief executive of Grainger, said: “The government’s long‑standing position has been to resist rent controls and focus instead on long-term solutions that genuinely support renters.

“Increasing housing supply, removing barriers in the planning system, and providing stability for investors, landlords and renters is the only sustainable way to fix the housing crisis.

“Evidence internationally and closer to home in Scotland and Ireland shows rent freezes don’t work. Wherever they have been introduced, they reduce the supply of all types of housing and deter investment into existing housing stock, leading to poorer-quality housing.”

Rebecca Taylor, managing director of multifamily at Long Harbour, said: “From where the market is sitting, this looks like one step forward, 10 steps back.

“The Renters’ Rights Act is literally days away from coming into force, a piece of legislation already creating huge uncertainty across the private rented sector. And now, at the eleventh hour, we’re floating policy reversals that directly contradict previous messaging.

“Investors, lenders and developers don’t fear regulation, they fear instability.”

Melanie Leech, chief executive of the British Property Federation, said: “We recognise the current pressures on individuals and households, but there is no surer way for the government to kill off its ambitions to deliver the new homes we desperately need, and the jobs and tax revenue that flow from that, than well-intentioned but inept knee-jerk government intervention.

“If a temporary rent freeze is being considered by the chancellor, she must learn the lessons of the disastrous impact of the failed attempt to introduce rent controls in Scotland with rents for new lets rising significantly after controls were introduced, alongside a standstill in new homebuilding.”

A private rent freeze would mark a significant reversal for the government, which resisted including rent controls in the Renters’ Rights Act, which comes into force on Friday.

But sources told the Guardian that ministers are now sufficiently worried about what the conflict in Iran will mean for mortgages and household budgets that they are willing to consider “exceptional measures”.

Education secretary Bridget Phillipson rejected the reports on Tuesday morning, however. She told Times Radio: “That isn’t something that we are actively considering, just to be completely clear. That is not the approach we’ll be taking.”

The Treasury said it would not comment on “speculation”.

In Scotland, MSPs recently passed a bill to allow ministers to cap rent in certain areas. Build-to-rent and mid-market homes were exempted from the regulations in a move that was welcomed by developers, investors and housing associations.

Ben Beadle, chief executive of the National Residential Landlords Association, said: “Introducing a rent freeze would be a disaster for landlord and investor confidence and consequently the supply of homes in England. Any hope of growing the market– or even retaining the homes that millions of families rely on – would be lost.

“There is no evidence to suggest that it would make rents more affordable. In fact, the impact on supply would inevitably drive new rents still higher. Such a move would run completely counter to good economic sense and the government’s own prior decision to rule out such measures.”

He added: “Even if these reports prove to be speculation, it is reckless for this kind of uncertainty to be created in the same week that major reforms already causing concern among landlords come into force.”

Earlier this month, Inside Housing Living investigated whether exempting build-to-rent homes from rent controls is enough to restart the market in Scotland.

Blackstone completes £562m refinancing of nine student schemes

James Riding — Wed, 29 Apr 2026 14:21:44 GMT

Private equity giant Blackstone has completed a £562m refinancing of nine UK student accommodation schemes.

IQ Student Accommodation, Blackstone’s student housing company, secured the financing with Japanese bank Mitsubishi UFJ Financial Group (MUFG).

The financing will support the upgrade and refurbishment of nine purpose-built student accommodation (PBSA) sites across the UK, encompassing more than 3,600 beds in cities such as Glasgow and Brighton.

MUFG acted as bookrunner and mandated lead arranger on the deal. The bank is active across the UK’s living sector, with a focus on build-to-rent and PBSA.

Sanjay Narbheram, head of housing finance at MUFG EMEA, said: “This transaction represents an important milestone as MUFG delivers on its living sector strategy.

“Supporting Blackstone and IQ on the refinancing of a high-quality PBSA platform reflects our conviction in the sector and a shared long-term view on its resilience, while reinforcing MUFG’s role as a trusted financing partner to leading global sponsors across the UK and Europe.”

Blackstone declined to provide additional comment for this article.

Other investors have also stepped up efforts to refurbish older PBSA schemes in recent months.

In February, London-headquartered Tokoro Capital and Chicago-headquartered GCM Grosvenor launched a £200m partnership focused on refurbishing houses of multiple occupancy and first-generation PBSA schemes.

The platform will target domestic students at more affordable rent levels than traditional PBSA.

Build-to-rent deals fall to nine-year low in ‘subdued’ start to 2026

Zainab Hussain — Mon, 27 Apr 2026 15:00:00 GMT

Build-to-rent (BTR) transactions slumped to a nine-year low in a “subdued” first quarter of 2026, despite the largest ever sale of a single operational scheme taking place.

Total BTR volumes in the first quarter of 2026 amounted to £736m, the lowest Q1 figure since 2017, according to property agency JLL.

The sale of Ebb & Flow, a 598-bed multifamily scheme in Reading, was the only major multifamily transaction for the period.

Inside Housing Living broke the news in December that Pension Insurance Corporation was set to acquire the scheme from Lincoln MGT for £200m.

The sale was also the largest single operational asset transaction in UK BTR to date, overtaking Greystar’s £172m purchase of the Barking Wharf scheme last year as the largest operational sale on record.

Investment in multifamily stood at £257m for the first three months of 2026, the second-lowest quarterly total over the last decade, but marginally ahead of quarter three of 2023.

Investment in single-family stood at £479m for the period, up by 4% on the five-year quarter one average.

Most of the investment in single-family came from Kennedy Wilson and Canada Pension Plan Investment Board, which committed a further £300m as they continued their expansion into the sector.

JLL said that the challenges to development in recent years, from viability to delays in Building Safety Regulator approval, are increasingly evident in the size of the operational BTR market.

Up until the end of 2024, the number of completed multifamily homes was growing around 20% per year. Since then, the rate of growth has halved to 11% as of the first quarter of 2026, driven by a shrinking pipeline.

The number of homes under construction has fallen 10% in the last year, while the number of homes with planning consent is largely flat. Only 88,000 homes have consent or are under construction – the lowest total since 2022.

As a result, JLL said, even cities where BTR has grown significantly in recent years, such as Birmingham and Leeds, could face an undersupply in the medium-to-long term.

The need to build more homes across the UK private rented sector is compounded with expectations of some smaller landlords leaving the market because of the higher regulatory burden of the Renters’ Rights Act.

Meanwhile, investment in student housing topped £2.2bn in the first quarter of 2026 – the highest quarter one on record.

Almost a third of investment in student housing came from the acquisition of Empiric Student Property by Unite, which completed in January following approval by the Competition and Markets Authority.

Other major deals included the joint venture between Fusion Group, Cheyne Capital and Art Invest for a purpose-built student accommodation development in Canada Water.

Investment in student housing accounted for 60% of the total £3.7bn invested in UK living in quarter one of 2026. This is significantly above the 35% average in a typical quarter.

Karl Tomusk, UK Living Research associate at JLL, said: “Even before the conflict in the Middle East started, we were expecting an uptick in investment volumes to come towards the back end of 2026, so a subdued start to the year for BTR was not too surprising.

“What was encouraging, however, was the sale of Ebb & Flow: it demonstrated strong investor interest in operational BTR where the opportunities arise. That has, and will continue to, underpin multifamily investment.”

He adds: “Given the uncertain geopolitical outlook and its economic ramifications, the growth in investment we were forecasting at the start of the year might be delayed.

“An already shrinking development pipeline is a further concern at a time when rental supply is coming under pressure from regulatory changes.

“This means that while conditions are difficult, the case and the need for development continues to be strong.”

Earlier this week, research by Savills and the British Property Federation found that the time it takes to secure planning consent for BTR schemes in London has almost doubled in the past six years.

Data by Savills earlier this month also showed that BTR deals had surged to £795m during the first quarter of 2026. It said that this was the highest first quarter of investment in the sector since 2022, which was just under £2bn.

For-profit partnerships with housing associations could fund 185,000 affordable homes, L&G says

Ellie Brown — Mon, 27 Apr 2026 15:35:53 GMT

Non-profit housing associations could receive funds to build 185,000 new affordable homes by selling 35% of their homes into a joint venture with institutional investors, according to asset manager Legal & General (L&G).

The asset manager, which currently owns 9,000 affordable homes, has developed a for-profit partnership model which it says can release “latent value” from the 2.9 million existing affordable homes owned by housing associations.

Under the ‘partnership registered provider’ model, which L&G is already pursuing with London landlord Hyde, existing occupied affordable homes are transferred to a for-profit provider jointly owned by the housing association and an institutional investor.

The transfer generates cash proceeds for the housing association which can be used to recapitalise the landlord, invest in retained stock or build more affordable homes. The investor and housing association share income from the transferred homes, while the housing association manages the homes and earns management income.

According to L&G’s analysis, if housing associations transferred 35% of their homes (980,000 affordable homes) to for-profit partnerships over a decade, this would unlock £2.2bn in “recycled subsidy” and £9.5bn in additional private capital to deliver an additional 185,000 affordable homes.

This means that for every five homes transferred to a for-profit partnership, one additional home can be delivered.

At the same time, all homes transferred into partnership registered providers will be retrofitted to Energy Performance Certificate (EPC) B and those remaining in housing association portfolios to EPC C or higher, unlocking at least £450m additional capital investment per year to improve existing homes.

If housing associations sold 60% of their existing stock into for-profit partnerships, almost 40,000 affordable homes a year could be delivered using recycled subsidy and £13bn in private capital. This would allow total delivery to reach 100,000 a year, or one million over a decade, plus £740m additional capital investment a year to improve existing homes.

The white paper, Delivering affordable housing growth – a partnership approach for England, argues that this would be a way to meet the government’s target of 80,000 affordable homes per year. It claims this target is unlikely to be achieved through grant funding and Section 106 homes alone due to financial constraints on the housing association sector.

António Simões, group chief executive of L&G, said: “Solving the UK’s housing challenge is a shared responsibility which requires fresh thinking and long-term commitment – pension capital has a unique role to play in this transformation.

“Our new partnership model with housing associations is designed to unlock investment at scale – accelerating the delivery of affordable homes across the country.”

This new model comes at a time when some landlords are cutting back development amid higher borrowing costs, tighter balance sheets and rising bills in order to maintain and upgrade their existing homes.

At the same time, L&G said institutional investors are looking to increase deployment of their long-term pensions capital into assets that offer stable, inflation-linked returns.

Andy Hulme, chief executive of Hyde Group, said: “This country needs a growing and vibrant affordable housing sector so we can provide high-quality homes that people can afford.

“We welcome this work. It shows the potential for scalable partnerships between institutions and traditional housing associations which can support building more new homes alongside investing in existing homes.”

Gareth Mee, chief executive officer for institutional retirement at L&G, said: “Investors like L&G are already helping to deliver social and affordable homes across the UK, and this model gives us – and other institutional investors – the ability to go further by putting long‑term pension capital to work where it is needed most, while delivering returns for our investors.

“Through our partnership with Hyde, we have already put some of the principles of a partnership RP into action. We now hope other long-term investors and housing associations will join us in adopting this model to help deliver the affordable homes the country needs.”

House builder and investor buy sites for 1,934 build-to-rent and social homes in Brent

Zainab Hussain — Thu, 23 Apr 2026 14:00:00 GMT

House builder The Hill Group and Pinnacle Investments have bought two sites to build 1,934 build-to-rent (BTR) and social rent homes in Brent, north-west London.

The joint venture, Dollis Hill Wembley LLP, has completed the acquisition of two sites in Wembley and Dollis Hill in Brent from United Colleges Group for a mixed-use development project.

At the Wembley site – located on Olympic Way, which leads to Wembley Stadium – the former College of North West London campus building will be replaced with linked 18-storey and 30-storey towers.

The towers will provide 307 flats in a range of sizes, including 85 homes for social rent. There will be commercial and retail space on the ground floor, as well as a concierge and cycle storage.

At the Dollis Hill site, a college campus on Dudden Hill Lane will be replaced with a series of buildings ranging from four to 28 storeys, providing up to 1,627 homes for BTR, social rent and private sale.

The development will have retail and commercial facilities and a new park. Two existing public parks will be transformed into playground facilities.

There will also be a new community centre, a nursery, a gym, local shops, cafes and co-working spaces.

The site will be designed to be car-free, with new footpaths, cycleways, cycle storage and a car club for residents.

The social rent homes across both developments – 154 homes in total – will be acquired by housing association Sovereign Network Group. Grant funding for the social rent homes will be provided by the Greater London Authority through its Homes for Londoners Fund.

Work on the first phase of the project is expected to begin in spring 2026.

According to The Hill Group, the homes will be equivalent to 84% of Brent’s annual housing requirement under the London Plan.

The project will also allow United Colleges Group to build a new purpose-built educational campus on Olympic Way in Wembley, forming part of a wider strategy to consolidate its premises.

The Hill Group completed more than 2,800 homes in the last financial year and has a development pipeline of over 32,000 homes, including 10,200 with planning consent. Around half of its portfolio is in joint ventures to build mixed-tenure developments, including with the government, local authorities, housing associations and private clients.

Pinnacle Investments is 50% owned by housing association Hyde Group.

Andy Hill, founder and chief executive of Hill, said: “At a time when housebuilding has substantially stalled in London, we are working tirelessly with our partners to bring forward new developments, such as these two sites in Wembley and Dollis Hill.

“Together, we are unlocking the potential of these sites to deliver much-needed homes in the capital, while transforming the area to develop new and enhanced public realm and provide essential community amenities that enable sustainable and thriving new neighbourhoods.”

Earlier this year, Mr Hill warned of “a real risk” of latent defects in taller BTR buildings. The chief executive said collapsing contractors and tightening fire safety regulations pose a serious risk to BTR schemes.

Last summer, Hill reported a 29% rise in profits for the previous year as it entered the BTR market. It reported revenue of £1.2bn and a profit before tax of £90.5m for the financial year 2024-25.

What went wrong at Heylo?

James Riding — Fri, 08 May 2026 12:16:14 GMT

Four subsidiaries of the shared ownership specialist entered administration last month. James Riding explores why the defaults happened and what might be next

At a stroke, shared ownership specialist Heylo looks set to lose a third of its homes.

Last month, Inside Housing Living revealed that four subsidiaries of England’s second-biggest for-profit affordable housing entity were in administration after they defaulted on the terms of their loans. Two of these four subsidiaries (also referred to as ‘pods’), HH1 and HH5, owned homes. Around 3,400 of Heylo’s 10,500 homes have been affected, and are expected to be sold to new owners.

These defaults caught the eye of the Regulator of Social Housing (RSH), which has expressed reservations about Heylo’s business model for years. The regulator said it would review the grading of Heylo’s for-profit registered provider, which leases homes from the subsidiary companies.

It also announced an investigation into additional matters that “may indicate serious failings” in Heylo delivering on its governance and financial viability standards.

Inside Housing Living has spoken to senior leaders across the housing world to paint a clearer picture of what really happened at Heylo.

Its situation is a unique one, but it comes at a time when housing associations are increasingly buying from, selling to and partnering with for-profit providers.

All social landlords, therefore, should be invested in what happens to Heylo’s homes. Will they stay in the affordable housing sector, or could they be sold to a private owner? The answer may require a reassessment of the entire for-profit affordable housing landscape.

Where it all began

A new company enters the affordable housing market focused on shared ownership. It promises an innovative way to deliver homes, using private finance to buy new builds from house builders through Section 106 and bulk purchase.

After growing its portfolio for a decade, there is a dispute between the company and its investors over a restructuring. The company’s principal lender says the threat of liquidation means there is “no other option available” but to appoint administrators to the company’s subsidiaries.

A team at PricewaterhouseCoopers (PwC) led by David Baxendale digs through the subsidiary companies’ finances and begins to sell their homes. Residents are told that their tenancies will continue with minimum disruption.

Questions are asked in the media. “What scrutiny, if any, should there be around private providers acquiring affordable homes that fall outside of the [regulator’s] remit?” asks Social Housing magazine.

But this isn’t the story of the recent Heylo administrations. This is what happened a decade ago to Assettrust Housing, Heylo’s predecessor company.

Assettrust was established in 2004 by Giles Mackay, a former barrister and serial entrepreneur. It built up a portfolio of just under 800 homes before its 18 subsidiary companies fell into administration during the 2013-14 financial year.

Assettrust had tried to use a registered provider to access bond finance and acquire its portfolio, but was rebuffed by the regulator, which criticised its governance and viability.

Following the administrations, in 2014 Assettrust’s homes were sold to a mix of landlords within the affordable housing sector. Housing associations Genesis and Fortis Living bought two-thirds of the homes between them.

The remaining third were sold to Heylo, a new company set up by Mr Mackay with Lancashire County Pension Fund and fund manager Internos. (When approached by Inside Housing Living for this article, Lancashire County Pension Fund said it exited Heylo in 2021 and had no further involvement in the business. Internos was sold to Principal Asset Management in 2018; Principal declined to comment for this article.)

Mr Baxendale is now leading the administrations of the Heylo subsidiaries, 12 years after he did the same with Assettrust. They aren’t quite the same: Assettrust had a different structure to Heylo, with more companies, and it was on a smaller scale. Even so, the circularity is striking.

Heylo’s structure

Heylo Group’s unique structure is crucial to understanding both the administrations and its longstanding dispute with the RSH.

Its registered provider – which Heylo acquired as a shell company, meaning it did not go through a registration process with the regulator – does not own any homes.

Rather, it leases homes from unregulated investment companies, or ‘pods’, within the Heylo Group. Each of these pods is backed by different investors, including BlackRock and other large insurance and pension companies. Heylo’s registered provider then onward-leases the homes to customers on a shared ownership basis.

There are three noteholders behind pods one and five, which are currently in administration. BlackRock is a lender to the subsidiaries in administration, Inside Housing Living understands, although it is not an investor in the wider Heylo Group.

The other noteholders are large commercial organisations that have significant investment elsewhere in the social housing sector. BlackRock declined to comment for this article.

Some housing sector leaders Inside Housing Living spoke to for this piece were sympathetic to the Heylo model.

They see it as an innovative solution that protects its registered provider and leaseholders while allowing multiple lenders to provide funding and house builders to market its homes. The non-compliant grades handed to Heylo in 2022 by the regulator did not give sufficient credit for this approach, they argue.

“This case reinforces the importance of meeting debt obligations. It also shows the importance of landlords having robust risk management arrangements and control over the social housing they provide”

It was also delivering homes. Heylo completed 806 homes in 2024-25, making it England’s third fastest growing for-profit affordable housing entity. This growth was accomplished without grant from Homes England; Heylo has not bid for central government affordable homes programmes since it was deemed non-compliant.

Other senior housing sources side with the regulator, which says Heylo’s structure does not sufficiently safeguard its homes. Since all the homes are outside the registered provider, there is little the registered provider itself can do to protect the homes and their residents if something goes wrong. The defaults bear this out, they argue.

All agree, however, that Heylo’s model is an outlier and that Mr Mackay is trying to do something different. He has founded 14 companies, including housing data company Hometrack, which he sold to Zoopla for £120m in 2017, the same year Heylo acquired its registered provider. He moved to Monaco in 2023, shortly after selling his Chelsea home to the president of the United Arab Emirates for £65m.

Other large for-profit providers operated by Legal & General (L&G), Grainger, Sparrow Shared Ownership and M&G have managed to achieve top marks from the regulator.

Like Heylo, L&G has created a structure that accommodates separate funders, but unlike Heylo, all its affordable homes sit within registered providers. (L&G has nine registered providers, three of which are funded by local government pension schemes and three of which use L&G’s own pension book.)

Who is to blame for the defaults?

How exactly the Heylo subsidiaries got into trouble remains unclear. Inside Housing Living understands that the insolvencies happened through investor-enforced security. In other words, the investors behind the affected pods appointed the administrators to protect their capital.

PwC’s press release states that its administrators are “acting in the interests of all creditors of Pod 1 and Pod 5” and, following the stabilisation of the companies, “intend to maximise value for the respective portfolios” through an orderly sales process.

The administrator’s language suggests this is a simple credit story: a failure of the pods to meet their loan agreements.

Heylo’s perspective is different. It says that to regain compliance with the RSH, the group had committed to transferring its asset-owning subsidiaries directly under its registered provider, with the purpose of giving the registered provider direct control. The investors of HH1 and HH5 did not agree to the restructuring, so administrators were appointed for these two pods.

In this telling, the regulator’s insistence on restructuring and the investors’ intransigence contributed to the pods’ troubles – implying that there is a regulatory element to the administrations.

Heylo told Inside Housing Living that it could not provide anyone to interview while the administration process continues. It pointed to its original statement on the appointment of administrators, which states that other entities within Heylo Housing Group remain unaffected.

The regulator’s view

A spokesperson for the RSH says: “This case reinforces the importance of meeting debt obligations. It also shows the importance of landlords having robust risk management arrangements and control over the social housing they provide.

“It highlights the need to follow our full registration process, rather than acquiring an existing provider, so we can identify potential issues with a landlord’s business arrangements at the outset.”

The defaults and the following events are “a realisation of the issues we found in our 2022 investigation” and published in Heylo RP’s non-compliant regulatory judgement, it says.

“We found that the arrangements Heylo RP entered into, including the leasing of its homes from investment pods, left it with limited ability to assess, manage and address risks to its social homes. We also found it had limited control over the protection of its social homes should risks crystallise.

“Since we published our judgement, Heylo RP has been unable to make the required changes to demonstrate the delivery of the outcomes of our standards.

“We have placed Heylo RP on our gradings under review list, as we carry out further investigations because of the recent developments.”

Can the regulator safeguard Heylo’s homes?

The Heylo case demonstrates a gap in the regulator’s powers. Simply put, it wasn’t able to do anything to stop the pods entering administration.

Were an insolvency to happen through investor-enforced security within a registered provider, the regulator can use moratorium powers, which give it 28 days to come up with proposals that creditors will agree with. It can also ask the housing secretary to appoint a special administrator with responsibility to keep the homes in the social housing sector.

But in this situation, due to Heylo’s unique structure, there are no guarantees.

“The future of the social homes is extremely important and we want them to stay in the regulated sector,” the regulator says. “The pods own the social homes but are not regulated by us, so the event has not triggered our insolvency powers and we do not have a formal role in the administration. We are however working closely with the administrator as it carries out the sales process.”

Heylo says all the terms of shared owners’ leases with its registered provider will stay the same in the short term. PwC adds that “there is expected to be no impact on the shared owners as a result of the administrations”.

Interestingly, the regulator used to have more power in this area. Before 2017, it had greater say over the constitutions of registered providers and social housing assets, meaning it might have been able to block some of Heylo’s transactions.

These powers were removed under a deregulation package by the previous government, with the goal of keeping the social housing sector off the public balance sheet. The Heylo administrations could reignite this debate, especially as the regulator is currently redrafting its economic standards.

What happens now

Much of the administration process will play out on Companies House. By the end of April, the administrator’s proposals for the four affected subsidiaries will be filed. These will be followed by various progress reports examining what the companies owned and eventually a final report.

Running alongside this will be the sales process for the affected homes. This has not yet started, but information-gathering is underway, Inside Housing Living understands. Given the number of homes involved, selling them all is likely to take time.

It is too early to tell who the homes will be sold to, although it is understood there is interest from other owners of social housing. The homes could be taken out of the affordable housing sector, although it is worth remembering that this did not happen to Assettrust’s homes. The fact that the homes have shared owners living in them will be factored into any sale.

In a statement on its website, PwC says the administrators are “engaging closely with key stakeholders, including the Regulator of Social Housing, to ensure continued stability across the portfolios”.

Then there is the question of contagion risk. Could the financial troubles of the affected pods spread to other Heylo subsidiaries and its other, currently unaffected, homes? Heylo insists the other pods are unaffected, while its registered provider remains non-compliant with the regulator but is not in default or administration.

It seems as if each subsidiary has separate assets and liabilities and there are not significant balances between them, although the administrators’ report will provide a definitive answer.

Heylo’s registered provider has also undertaken various personnel changes, to give the registered provider greater independence, with fewer people sitting on multiple boards across the group’s companies. Among them is David Montague, who chairs Heylo RP and has stepped down from Heylo Group, while Andrew Geczy, chief executive of Heylo Group, has stepped down from Heylo RP.

Even if the subsidiaries are distinct, there is a risk that noteholders of the other pods get spooked.

One of the other pods is backed by a listed public bond, Heylo Housing Secured Bond. Although the bond is separate to the affected pods, its price took a big hit the day the administrations were announced and at the time of writing was trading 22.6% lower than before the defaults. However, we cannot be sure what caused the dip in price.

“The team at Heylo Housing is working closely with the administrators, and our customers remain our top priority to ensure a smooth and orderly transition,” Heylo said in its original statement last month. “As this is an ongoing matter, we are unable to comment further at this stage.”

Timber cladding: dealing with an apparent 60-year mistake

Ian Abley — Thu, 23 Apr 2026 06:00:00 GMT

Ian Abley, technical designer at TFT, explores the current safety issues around timber cladding and how building regulations can be corrected

Research from the Health and Safety Executive in December 2025 raised the issue of timber cladding in a study by OFR Consultants, following the 2019 fire at Samuel Garside House in Barking.

It revealed longstanding ministry guidance in need of correction by regulators, and the need for action by building owners of existing buildings that may require remediation building works and by developers of new assets.

Learning from ‘Real Fires’ research

The Samuel Garside House incident did not result in any fatalities, but fire spread rapidly across timber cladding to external walls and balconies, damaging 30 of the 79 flats before the London Fire Brigade brought it under control.

Subsequent legal disputes confirmed the evidence of the real fire, where timber cladding did not “adequately resist the spread of fire over the walls”, to satisfy Requirement B4(1) in the Building Regulations.

Creating specific regulations based on Reaction to Fire

Following the Grenfell Tower fire, the government introduced a specific Building Regulation 7(2), requiring Class A2‑s1,d0 materials to BS EN 13501-1 Reaction to Fire on the external walls of high-rise residential buildings.

This limited the amount of fuel available for fires by restricting the calorific value of materials, with a list of practical exclusions in Regulation 7(3).

Timber cladding, by contrast, has a higher calorific value, is designated as a Class E material and at best may achieve a Class B rating when treated with some fire retardants. Surface-painted fire retardants are less reliable than fire retardant impregnated under vacuum pressure throughout the timber, and not all impregnations on the market are equivalent in effectiveness.

Timber cladding may be fashionable as a ‘green’ material, but fire retardants are often considered unsustainable by environmentalists. In other buildings outside the scope of Regulation 7(4) for 7(2) there is no specific regulation preventing Class E timber cladding.

Why is timber cladding approved?

Approved Documents are government guidance showing ways to comply with the Building Regulations, which include the legal requirements in Schedule 1, Part B concerned with fire safety.

In both volumes of the non-mandatory Approved Document B (AD-B), where the Reaction to Fire of materials is classified, there is a longstanding note which states: “Timber cladding at least 9mm thick is also acceptable.”

Prior to AD-B in 1985, the first National Building Regulations of 1965 approved 3/8-inch timber cladding. The Real Fires researchers argue this originates not from policy intent, but from a misreading of a 1960 fire test.

The result is many buildings following AD-B do not reflect the real fire performance of timber cladding. Both OFR Consultants and CROSS have confirmed the 9mm note is unreliable yet remains in AD‑B, while continuing to influence design decisions and fire risk assessments.

Correcting the regulations

Since 2022, the Fire Risk Appraisal of the External Walls in PAS 9980 has been used to inform fire risk assessments of existing buildings, when considering external wall construction that is “tolerable”. PAS 9980 does not correct the legacy of timber cladding at least 9mm thick, insufficient for Requirement B4(1).

Fire risk assessors may consider external wall construction as “tolerable” even where emerging research shows otherwise. This creates differences in views of reasonable life safety as the qualification in Building Regulation 8 among lenders or insurers additionally concerned with property protection.

This results in a problem for residents inhabiting combustible‑clad buildings and facing ongoing financial uncertainty.

Litigation highlighted these issues for Samuel Garside House, but the time it takes, the costs involved and the case-by-case results it delivers make it impractical to deal with the number of buildings affected.

A straightforward fix would be to withdraw the AD‑B timber cladding note and to adopt a universal specific Building Regulation, improving Regulation 7(2). This aligns with the approach in the insurance sector, where maximising Class A2-s1,d0 construction is an essential principle for both life safety and property protection.

As the industry awaits updates to Regulation 7(2), or a new specific Building Regulation, our advice to clients is to remain alert to this emerging regulatory context when considering timber cladding. Meanwhile, AD-B is projected to 2029 with amendments, before a further revision is anticipated.

The approval of timber cladding at least 9mm thick in AD-B is likely to be corrected, though it is astonishing it was not addressed for 60 years. Being aware of this trajectory now will help building owners plan proactively and avoid being caught out by future changes.

If new or replacement timber cladding is sought, it should be fire retarded to Class B-s1,d0, using a vacuum impregnated chemical of proven effectiveness, and a minimum thickness of 22mm should be specified.

Replacement of 9mm timber cladding previously thought by AD-B to be sufficient for Requirement B4(1) in the Building Regulations should be considered by building owners. So far as reasonably practicable, of course, timber cladding should be designed out of external wall construction.

A consultation to amend Approved Document B is now open, and any professionals who want to put right loopholes and errors such as those relating to timber cladding, should make their views heard.

Ian Abley, technical designer, TFT

Time to secure planning consent for build-to-rent homes doubles in London

Zainab Hussain — Thu, 23 Apr 2026 13:35:52 GMT

The time it takes to secure planning consent for build-to-rent (BTR) schemes in London has almost doubled in the past six years, according to new research.

Savills and the British Property Federation (BPF) found that the average time to secure planning consent for BTR homes in London is now 15 months, up from eight months in 2020.

The time taken to secure planning consent is now 150% longer than the statutory time limit for major applications.

A similar slowdown in the planning process is happening across the country, where planning applications are taking up to 14 months to determine.

The number of BTR homes in planning increased by 2% year-on-year nationwide and 6% in London.

In the capital there were 41,968 BTR homes in planning in the first quarter of 2026, up from 36,559 a year earlier.

But the number of schemes at the detailed application stage has fallen by 17% since the last quarter.

The number of homes under construction has also continued to fall for the ninth consecutive quarter – down 17% on the year before, from 59,874 to 49,984 nationwide.

In London, the number of homes under construction is down by 29%, from 17,138 to 12,134.

Almost one in 10 new homes, equivalent to 8%, are now BTR. The research also found that 80% of the BTR pipeline includes schemes of more than 100 homes.

Of the 1,002 completed schemes, the average development size was 147 homes, with 512 schemes for fewer than 100 homes.

The average size of schemes going through planning is now 295, accounting for incoming second staircase legislation and the increasing cost of land.

The BPF said that incoming planning reform and revisions to the National Planning Policy Framework can assist in streamlining decisions, but developers are hampered by a continued gulf between proposed changes and implementation, delaying the decision-making process.

In particular, it said, improving planning resource and ensuring local plans are in place must be prioritised. The trade body estimates 3,000 additional planners are required to boost capacity.

Danny Pinder, director of the BPF, said: “The rental market continues to come under intense pressure, with supply constrained and development challenging – exacerbated by entirely avoidable impacts of the incoming Renters’ Rights Act and renewed discussion of rent controls.”

He added: “Planning reforms to date have been helpful, but they are not sufficient to turn the tide on development.

“We need to see the government go further to reform tax barriers to new homes and that the increasing costs of construction are offset by a reduction in Section 106 and CIL [Community Infrastructure Levy] requirements.”

Jacqui Daly, director of Savills Residential Research, said: “With the UK facing a housing shortage, BTR is playing an increasingly important role in boosting overall supply, now accounting for close to one in 10 new homes delivered.

“If BTR is to realise its full potential as a scalable and reliable source of new homes, it needs a more supportive operating environment, one that improves planning efficiency, provides regulatory certainty and enables schemes to progress quicker from consent to construction.”

The Ministry of Housing, Communities and Local Government was approached for comment.

Earlier this month, data by Savills showed that BTR deals had surged to £795m during the first quarter of 2026. This is the highest first quarter of investment in the sector since 2022, which was just under £2bn.

Last month, Peter Vernon, chair of the National Housing Bank, a new subsidiary of Homes England, said that BTR is a “particular priority” for the institution.

US investor backs for-profit in £1bn affordable housing drive

Zainab Hussain — Wed, 22 Apr 2026 15:28:44 GMT

US investor Sixth Street is backing for-profit registered provider Park Properties Housing Association (PPHA) with a £1bn affordable housing drive.

Sixth Street is investing in PPHA through a partnership with impact investor HSPG, which acquired the for-profit provider in 2020.

PPHA has a contracted pipeline of 1,100 homes and a further 4,000 homes identified for addition to its portfolio.

Under the new partnership, Sixth Street will provide the majority of the equity capital, while HSPG will continue to lead the strategic direction, asset management and growth of PPHA’s platform alongside the company’s existing management team.

The partnership will significantly expand PPHA’s capacity to deliver new homes.

PPHA intends to invest more than £1bn in building new homes in all affordable tenures, including affordable rent, social rent, shared ownership and grant-led additionality, in areas of greatest need.

The for-profit partners with house builders and SME developers to acquire Section 106 properties. It is also a Homes England partner.

Although PPHA was historically concentrated in the South East and West Midlands, the new partnership will bring a “nationwide lens” to its activity.

It is one of the largest for-profits in the UK, with over 500 operational homes as of last year.

PPHA expects to complete 678 new homes in 2025-26, 1,647 new homes in 2025-27 and 5,000 new homes in 2025-30.

The for-profit provider has grown its portfolio through acquisitions and a governance framework, working with investment institutions in the UK to build a vertically integrated platform. It also plans to unveil a new brand.

Sixth Street was founded in 2009 and is headquartered in San Francisco. It has over $130bn (£96bn) in assets under management and committed capital.

HSPG partners with national house builders, agents and public sector organisations to acquire and manage residential properties. It operates two platforms, PPHA and Seahorse.

Giulio Passanisi, partner and head of European real estate at Sixth Street, said: “This investment marks a significant expansion of Sixth Street’s ongoing commitment to the UK residential market and aligns with our long-dated, patient capital investment model.”

Guy Horne, chief executive officer of HSPG, said: “Institutional capital, deployed through for-profit registered providers such as PPHA, is playing an increasingly important role in addressing the imbalance of affordable homes in the UK.”

HSPG wrote on LinkedIn: “We believe private capital has a critical role to play in addressing the housing crisis: not just at pace, but with purpose.

“By partnering with institutions like Sixth Street and working closely with local authorities, house builders and communities, we are increasing the supply of homes where they are needed most.”

Sixth Street was advised on the deal by Simpson Thacher & Bartlett, Trowers & Hamlins, EY, Savills and JLL.

HSPG was advised by Travers Smith, Alvarez & Marsal and Axis Capital Advisors, and PPHA was advised by Winckworth Sherwood.

Last year, HSPG appointed Chris Hewitt, formerly the finance director of L&G Affordable Homes, as chief financial officer.

Mr Hewitt said: “It was immediately clear that HSPG is not just investing in property. It’s investing in people, communities and long-term social change.”

Some later living operators ‘inflating’ support to dodge affordable housing contributions, ARCO boss claims

Eliza Parr — Tue, 21 Apr 2026 12:00:00 GMT

Some later living operators are inflating the support element of their homes to get around affordable housing contributions, a trade body leader has claimed.

Michael Voges, chief executive of ARCO, the trade body for integrated retirement communities, told the Build More Homes and New Towns Summit last week that there was a “credibility gap” in the later living sector between housing-with-care schemes and so-called “housing-with-cappuccino” developments.

He added that some of the health and social care savings the sector delivers are “actually not very well evidenced”.

For older people’s housing that includes care and support, labelled ‘housing with care’, the Treasury has estimated that the saving per year, per resident is £1,840.

However, retirement living with communal facilities but no or few care services generates a healthcare system financial saving of just £8 per person per year.

Pointing to these figures, Mr Voges said: “I know some people don’t like to hear this, because there are some people who like to pretend that they deliver more than they do.

“I’m sure there are other benefits [of retirement housing], but what I’m trying to say is that we have a credibility gap here, where you have operators coming in saying ‘I will provide this comprehensive service, and I will provide all these things, I’ll save the NHS money’, and that’s the housing-with-care solution.

“And then you have some people that I like to call the ‘housing-with-cappuccino’ solution, where there’s an... espresso machine over here, and we’re pretending that that’s delivering the benefits of a private hospital on the high street, when actually what the developer’s doing is trying to get out of affordable housing contributions – let’s not beat around the bush here.”

Mr Voges therefore said that “sometimes being more open and being more honest” about what the sector presents as benefits is necessary.

“Otherwise, I think we’re just not making a credible case if we don’t call out those instances where, quite frankly, we’re over-inflating things... on the back of either crowbarring yourself into a planning consent or saving yourself affordable housing contributions,” he added.

But Mr Voges recognised that older people’s housing has other benefits besides health system savings, including from downsizing and freeing up homes.

A report published by the Centre for the Study of Financial Innovation in 2020 estimated there are more than 15 million surplus bedrooms in the UK, and this number is expected to reach 20 million by 2040.

Earlier this year, the All-Party Parliamentary Group on Housing and Care for Older People called on developers, social housing providers and planners to create more intergenerational communities.

Unipol Student Homes appoints new chair

Zainab Hussain — Mon, 20 Apr 2026 14:28:21 GMT

Student accommodation charity Unipol Student Homes has appointed a new chair of its board.

The charity has announced that Professor Paul Marshall will become chair from 1 May, after the current chair, Stephen Willis, steps down.

Professor Marshall’s appointment comes as Unipol develops its strategy and continues its work to improve standards, access and support in student housing.

He brings three decades of senior leadership experience across higher education, public policy and sector organisations, with a track record of institutional transformation, governance and national policy engagement.

Professor Marshall is currently vice-president (global campus) and pro-vice chancellor (careers and enterprise) at the University of East London.

In those roles, he has led a programme of institutional transformation including improvements in graduate outcomes, employer engagement and financial performance. Professor Marshall also expanded the university’s global activity and transnational education portfolio.

He has also held national leadership roles as chief executive of the Chartered Association of Business Schools and executive director of the 1994 Group of universities, shaping higher educational policy and funding.

Professor Marshall gained direct experience of the student accommodation sector through his time at a provider of campus infrastructure, where he led business development and founded the UPP Foundation – a charity focused on the civic role of universities and student well-being.

He is also a fellow of the Royal Society of Arts and the Institute of Directors, and has served as a judge for the Times Higher Education Awards.

Professor Marshall said: “I am pleased to take on the role of chair and to support the board and executive team as the organisation develops its next phase.

“The priority will be to ensure clear strategic direction, effective governance and continued impact across the sector.”

Sam Bailey-Watts, chief executive at Unipol Student Homes, said: “Stephen has provided board leadership, guidance and support through a transitional and challenging period for Unipol and is stepping down due to his increased workload and commitments across other areas of his portfolio.

“I am delighted that he has agreed to continue to support me and the organisation on an advisory basis.”

He added: “Unipol leads improvement across the student housing sector through its government-approved National Code of Standards and we look forward to Professor Marshall’s input, as we look to enhance our activities in the sector to improve the residential and wider student experience.”

Unipol houses students on a not-for-profit basis and owns accommodation in cities such as Leeds and Nottingham.

Exclusive: Sage Homes sells 435 homes to housing association

James Riding — Tue, 21 Apr 2026 15:02:21 GMT

For-profit provider Sage Homes has sold 435 homes to a housing association, Inside Housing Living can reveal.

The Blackstone-backed affordable housing provider has offloaded 435 homes in Wakefield and across wider Yorkshire to Northern housing association Vico Homes.

The homes are fully occupied and predominantly social and affordable rent, with an element of shared ownership. They are all under five years old.

The organisations did not disclose the price of the transaction, although Inside Housing Living understands Vico carried out an independent valuation of the homes.

This is the second deal between the two landlords, following Vico’s acquisition of 390 tenanted homes from Sage across Doncaster and wider Yorkshire in June 2025.

Sage has now sold a total of 825 affordable and social rented homes to Vico. A third transfer of homes in a similar area is already planned, Sage added.

Sage aims to use the capital from the sale to deliver more affordable homes, Inside Housing Living understands.

The landlord, which is England’s largest for-profit affordable housing entity, is also looking to trim its nationwide portfolio to focus on core zones and create housing management efficiency.

Meanwhile, the acquisition allows Vico to build the density of its portfolio in its Northern operating area. It will receive income straight away from the occupied homes, with no development risk.

Vico Homes owns 32,000 homes across the North of England. The landlord has a target to provide 10,000 homes over the next decade through a mix of acquisitions and direct development.

Sage is aiming to deliver 30,000 affordable homes by 2030. It has delivered 21,000 homes, with 4,000 sold on to other landlords and 17,000 remaining under Sage’s ownership. It also has a further 2,000 homes in the pipeline.

It buys new build Section 106 homes and uses government grant to buy market sale homes from house builders, which it converts to affordable housing.

Inside Housing Living understands Sage is exploring Vico-style “onward sales” partnerships with other housing associations. Sage has already completed other significant portfolio sales, including a transfer of 3,000 shared ownership homes to Universities Superannuation Scheme in 2024.

Martyn Shaw, chief executive of Vico Homes, said: “Our ambition is to deliver 10,000 homes over the next decade and growth doesn’t always mean starting from scratch.

“This acquisition demonstrates the impact that two organisations with shared values can achieve together, providing customers with stability and long-term investment in their homes.”

Elizabeth Froude, chief executive of Sage Homes, said: “Every transfer of homes represents real people who deserve a safe and secure place to live, and that principle guides every decision we make.

“When organisations bring their expertise together, the sector can achieve far more. Our partnership with Vico Homes is a clear example of this in action.

“Through partnerships with registered providers who share our values and service levels, we can continue to build our ambitious pipeline and deliver more affordable homes for the people who need them most.”

Edmond de Rothschild puts £71m build-to-rent portfolio on sale

Zainab Hussain — Thu, 16 Apr 2026 09:30:00 GMT

Edmond de Rothschild Real Estate Investment Management (REIM) has put on sale a build-to-rent (BTR) portfolio valued at £71m.

Edmond de Rothschild REIM, part of the Swiss-headquartered Edmond de Rothschild bank, has put its Coyote portfolio up for sale.

The portfolio comprises 405 flats across four schemes in Glasgow, Nottingham, Newcastle and Leicester.

They were all developed between 2022 and 2024 and are currently 96% let, producing an aggregate current rent of £5.7m per year.

If the schemes are fully let, their estimated rental value is around £6.1m per year.

Allsop, appointed by Edmond de Rothschild to sell the portfolio, is inviting offers in excess of £71m. Offers for individual properties will also be considered.

The asset manager operates around 3,500 homes in the UK across the private rented sector and affordable housing. This includes 10 operational BTR schemes, with 2,600 flats in total.

Its BTR schemes are mid-rise and spread across eight cities and towns in the UK, including Birmingham, Warrington, Nottingham, Leicester, Glasgow and Edinburgh.

Edmond de Rothschild’s private sector housing fund, launched in 2017, is worth just under £500m, backed solely by German institutions such as pension funds.

In October last year, Inside Housing Living met with the asset manager to speak about its mid-market approach.

It found that the average rent across the company’s private rented portfolio is £950 per month for a typical one-bed flat and £1,300 per month for a two-bedroom home.

Salaries for Edmond de Rothschild’s private renters range between £35,000 and £60,000, with most concentrated in the region of £40,000.

A total of 65% to 66% of the portfolio is let to people aged between 25 and 32. Two-thirds of the company’s private tenants are classed as key workers or essential workers.

Investing in the squeezed middle: how institutional capital can bridge the UK’s affordability gap

Cath Webster — Thu, 16 Apr 2026 08:05:33 GMT

As the UK’s housing crisis deepens, attention has rightly focused on those in greatest need, but a growing cohort of essential workers are falling through the cracks, writes Cath Webster, chief executive officer of Thriving Investments

Social housing has long sat at the centre of the UK’s housing debate, and rightly so. But a growing portion of households now fall just outside its reach: workers who earn too much to qualify for social housing yet are increasingly priced out of the private rental sector and shut out of homeownership.

Teachers, healthcare workers, factory staff, transport workers – the people who keep our cities functioning – are finding that stable employment no longer guarantees access to a secure, affordable home. This is the squeezed middle, and it is one of the most significant, and most overlooked, challenges in housing today.

Neither end fits

The problem is structural. Social housing allocation is rightly focused on those in greatest need. Private rental is priced according to local market rates. Meanwhile, outright homeownership remains out of reach in most high-demand, urban areas for households on moderate incomes.

This leaves a widening gap in the middle; households that do not qualify for subsidised housing but find their finances stretched thin, whether they rent or try to buy.

The consequences extend well beyond individual households. Pricing out this group places greater pressure on social housing waiting lists, undermines recruitment and retention for vital public services, and pushes workers to live further from the communities they serve.

What institutional capital can offer

The role of institutional investment in addressing the housing crisis has long been debated but the appetite is already proven. Take the build-to-rent market, which has grown rapidly to reach £5.3bn of investment in 2025, driven by investors drawn to the stability and returns of professionally managed rental homes.

The demand is there. The question is whether institutional capital can be directed beyond the open market to serve the households who need it most – and that requires investment in a broader toolkit of tenures.

Delivering for the squeezed middle

Thriving Investments launched the New Avenue Living Fund in Scotland in 2019 to tackle this exact challenge. Using a place-based, inflation-linked strategy, it forward-funds developments originally intended for the open market – taking high-quality, energy-efficient properties within easy reach of major city centres and creating discounted mid-market rental homes.

Rents are set at a discount to local market rates, with genuine security of tenure for households that are not in immediate need for social housing but fall below what the private market comfortably demands.

The difference for residents is tangible. Among the first residents in our Edinburgh developments was a young, dual-income couple, employed and financially stable on paper, but unable to find a home that was both affordable and well located for work. Others were medical staff at the Edinburgh Royal Infirmary, now a five-minute cycle or 20-minute walk away from their front door.

What’s more, our most recent impact data shows that New Avenue Living residents save an average of £458 a month compared to those renting privately – a meaningful difference in financial resilience, and a clear indicator of the demand that a well-targeted, affordable product can generate.

In England, this model operates as Discount Market Rent, and last year we brought New Avenue Living to Greater Manchester. The timing is significant: our cities continue to face acute housing affordability pressures. This month, the chancellor announced up to £1.7bn of investment across the Northern Growth Corridor as part of a plan to create new homes and career opportunities within a short commute for nine million people.

Greater Manchester specifically will have access to £175m to support jobs and development across places such as the newly announced Victoria North new town. Institutional investment in affordable homes for essential workers is precisely the kind of private capital that public investment of this scale is designed to catalyse – and our Greater Manchester fund is already positioned to support this delivery.

For households with aspirations to own who cannot afford an outright purchase, shared ownership offers a viable alternative. The ReSI LP Fund we manage in partnership with Gresham House has over 2,000 shared ownership homes and continues to deploy capital to deliver new homes across the UK, with ambitions to keep growing.

Not only do these homes provide a genuine pathway onto the property ladder for squeezed middle households who could not otherwise access ownership, but we also estimate that lifetime savings of £379,000 are delivered for our customers, mostly young families and essential workers.

Scaling what works

The need is not in question. Government figures show that 208,600 net additional homes were delivered in England in 2024-25 – a 6% fall on the previous year. But closing the affordability gap for the squeezed middle will require more, including broader recognition of Mid-Market Rent, Discount Market Rent and shared ownership within the national housing strategy, and frameworks for public-private partnership that reflect the full spectrum of affordability need.

The newly launched National Housing Bank – alongside the already existing Scottish National Investment Bank – provide a wide range of opportunities through which public and private capital can be brought together to grow these funds at scale.

What unites these approaches is their appeal to investors as much as to residents. Each delivers a diversified, inflation-linked income stream with a strong occupancy, low turnover and a resident base with a genuine stake in their community.

In an era where responsible investment strategies are becoming more mainstream, the social value is not incidental – it is part of the return. The models are proven and the investor appetite is there. What is needed now is the scale, the collaboration and the ambition to match the size of the problem.

Delivering stable, affordable homes for essential workers, whether to rent or to own, is not simply an exercise in social responsibility – it is a long-term investment opportunity that is gaining traction.

Cath Webster, chief executive officer, Thriving Investments

PIC completes registration of for-profit affordable housing provider

James Riding — Wed, 15 Apr 2026 15:30:00 GMT

Pension Insurance Corporation (PIC) has completed the registration of its for-profit affordable housing provider with the Regulator of Social Housing.

PIC’s for-profit provider, named Verda Living, will allow the specialist insurer to own and operate affordable homes developed through its Habiko partnership with Homes England and house builder Muse.

Verda Living will also be able to acquire occupied affordable homes from non-profit housing associations.

The for-profit provider will be chaired by Nathan Warren and has appointed Helen Moore and Chyrel Brown as independent non-executive directors.

PIC has been active in the UK affordable housing market since 2012, lending £4bn of debt to housing associations.

It said that launching Verda Living will allow it to take a “direct role” in the provision of social and affordable housing, working alongside developers and local authorities.

Verda Living is committed to delivering “high-quality, affordable and well-governed homes”, PIC said, providing stability for residents while maintaining “the highest standards” of financial resilience and regulatory compliance.

Residents will be at the “centre” of Verda Living’s approach, with “clear accountability” for service delivery and “responsive” engagement.

Hayley Rees, managing director of PIC Capital, said: “Verda Living will generate the secure, long-term cashflows needed to support our pension liabilities.

“Establishing Verda Living was a natural next step for PIC, as it enables us to play a more direct role in supporting the delivery of much-needed affordable homes across the UK.”

Rasheed Rahman, executive lead for Verda Living and head of affordable housing and real estate structuring at PIC, said: “Verda Living has been created to be a practical, delivery-focused partner for local authorities, developers and other stakeholders who are serious about bringing forward high-quality social and affordable housing.

“We combine long-term capital with a clear understanding of how homes are delivered and managed on the ground. Our focus is on working collaboratively to unlock schemes, manage risk sensibly and deliver homes that communities need.”

Habiko, PIC’s affordable housing partnership with Muse and Homes England, has announced its first three deals in Solihull, Chester and Warrington, with more sites coming this year.

The portfolio will be slanted to social rent, using grant from the new Social and Affordable Homes Programme, and PIC hopes to have homes built and occupied by 2029. Muse is reviewing some of its existing sites to see whether Habiko homes can be added.

In December, Inside Housing Living revealed that PIC had bought a build-to-rent scheme in Reading for £210m.

Related Argent completes £189m refinancing on Brent Cross build-to-rent blocks

James Riding — Thu, 16 Apr 2026 08:59:37 GMT

Developer Related Argent has completed a £189m refinancing package on two build-to-rent blocks in Brent Cross.

The two refinancing deals were funded by HSBC UK and Barclays UK Corporate Bank. They have a combined value of £188.7m and an average loan-to-value of 60%.

They apply to two build-to-rent buildings, known collectively as The Maple, located in the Brent Cross Town regeneration scheme in Barnet, north London. They comprise a total of 540 homes with amenities such as a swimming pool, gym, rooftop terrace and co-working space.

Brent Cross Town is one of Europe’s largest regeneration projects. Once complete, it will provide up to 6,700 new homes, through a mix of affordable, build-to-rent, homes for sale, co-living, purpose-built student accommodation and senior living.

The masterplan also includes a retail-led high street, 50 acres of parks, public squares and sports and play facilities, three new schools and three million sq ft of office space.

Related Argent was founded in 2015. It currently manages 720 operational build-to-rent homes and has another 1,400 homes in development. This includes 484 homes at Ferry Island in Tottenham Hale, which are scheduled to launch later this year.

The developer is best known for its regeneration of King’s Cross in central London, which includes Related Argent’s first build-to-rent development, Author.

Oli Rifkind, chief development officer at Related Argent, said: “The successful refinancing of our first two build-to-rent developments at Brent Cross Town, the first of which is now fully stabilised, is a strong endorsement of both the quality of these assets and the long‑term vision for the town.

“Securing this quantum of funding from two leading banks, at a time when the market remains selective, demonstrates the confidence that lenders continue to place in our approach, our partnerships and our ability to deliver high‑performing build-to-rent homes.”

Darren Wilson, head of private rented sector at HSBC UK, said: “We are pleased to play a key role in this regeneration project, showcasing the economic growth and appeal of Brent Cross Town for residents and businesses.

“The build-to-rent delivery will help address the demand for housing and contribute to wider regeneration plans for the area.

“HSBC UK has a longstanding relationship with Related Argent. This is our first residential scheme, and we are excited to watch the wider regeneration come into fruition.”

Dan Whiting, relationship director at Barclays UK Corporate Bank, said: “Brent Cross Town demonstrates how large-scale regeneration can unlock long-term economic and social value, while meeting growing demand for professionally managed rental housing.

“We are pleased to be supporting Related Argent as it delivers on the long-term vision for Brent Cross Town, with The Maple project driving real long-term growth of the UK economy.”

Losses widen at for-profit Funding Affordable Homes

Zainab Hussain — Tue, 14 Apr 2026 11:00:00 GMT

For-profit provider Funding Affordable Homes Housing Association (FAHHA) has posted a £7.2m loss in its full-year results for 2025.

FAHHA reported an overall loss of £7.2m for the year to June 2025, compared with a £2.9m loss the year before.

Income for the year rose 38% to £5.6m, while operating surplus surged to £2.8m, up from £1.2m in 2024.

However, this was offset by an £8.8m revaluation loss on its fixed properties, primarily due to softened discounts applied to reflect market conditions.

The £8.8m revaluation loss also included a £3.9m hit linked to ongoing remediation work at FAHHA’s Aldershot site. The work has been completed since the year-end, so no further deterioration in the site’s value is expected.

The for-profit is owned by Swiss bank Edmond de Rothschild. Its housing portfolio comprises 559 operational homes, including 142 for social rent, 262 for affordable rent and 155 for shared ownership.

It only owns homes that were built using grant funding from the UK government, and most of the homes are mid-rise flats. The majority of its schemes are concentrated in London, including two on the Isle of Dogs, and the South East of England.

During the year, FAHHA banked £848,382 from disposal of properties, up from £261,116 the year before.

The registered provider is part of a wider Luxembourg-based fund, Funding Affordable Homes, which was acquired by Edmond de Rothschild in 2018. The fund owns around 800 homes, 60% of which sit within FAHHA.

During the last financial year, the fund transferred a 20-year inflation-linked loan from Deutsche Bank to Aviva with no changes to the terms. At the end of the 2025 financial year, the fund had loans outstanding with Aviva, with a total principal balance of £30.3m.

Last month, FAHHA appointed Kush Rawal as managing director. Mr Rawal previously held various roles at housing association Metropolitan Thames Valley, including chair of the Molly Huggins Foundation, a charity set up by the social landlord to tackle the cost of living crisis for its residents.

Last year, Inside Housing Living spoke to Edmond de Rothschild Real Estate Investment Management’s chief investment officer and head of fund management about FAHHA as well as the bank’s market rent portfolio.

BTR major Get Living appoints new chief executive

Zainab Hussain — Fri, 10 Apr 2026 16:00:00 GMT

Build-to-rent (BTR) investor, developer and operator Get Living has appointed Kate Freer as its new chief executive.

Kate Freer will take on the role as the firm’s new chief executive with effect from autumn 2026.

This follows the announcement at the end of last year that the company’s long-standing chief executive, Rick de Blaby, is stepping down to pursue a non-executive career.

Ms Freer has over 25 years of experience in the sector. Most recently, she served as executive vice-president of investments (UK) at investment group Realstar for 11 years.

In that role, she helped to build the UK multifamily platform and Uncle brand from the ground up, growing the portfolio from 28 properties to around 6,400 homes, with an estimated £2.6bn gross development value.

Prior to that, Ms Freer spent 10 years at Blackstone, working on operating platforms such as NHP, Nido and Centerparcs.

Gertjan van der Baan will serve as interim chief executive between Mr de Blaby’s departure at the end of May, and the commencement of Ms Freer’s role in the autumn.

Mr van der Baan was previously chief executive of Vesteda – a multibillion residential rental company – from 2014 until 2024. Since the start of this year, he has been working as a senior advisor.

Get Living, which was established in 2013, is one of the UK’s first-to-market BTR investors, developers and operators.

Its portfolio has grown to over 6,200 homes for rent across seven neighbourhoods, including: East Village, Elephant Central and The Filigree in London; One Maidenhead in Berkshire; Sherlock Quarter in Birmingham; Oakgate in Leatherhead; and New Maker Yards in Salford, Greater Manchester.

This year, Get Living will launch The Elephant in central London, with 485 rental homes. It has a development pipeline of a further 1,800 homes.

Jeremy Helsby, chair of Get Living, said: “We are delighted to welcome Kate to Get Living at an important time in our growth strategy and we all very much look forward to working with her in furthering the continued growth of the business.

“I would also like to say a huge thank you to Rick de Blaby, our outgoing CEO.”

Mr de Blaby said: “I look forward to watching Get Living fulfil its full potential and wish Kate every success as she brings her own ideas and drive to the next chapter.”

Last month, Inside Housing Living met Mr de Blaby to look back on his nine years at Get Living, ahead of his departure.

Speaking about The Elephant, Mr de Blaby said: “The viability of something like this would be squeaky tight. If you were starting from scratch, it’s really hard.” But if you’ve got scale, “development can, at the margins, add a bit of sizzle to your core return”.

Homes England’s joint venture with European investor and developer makes first acquisition in Manchester

Zainab Hussain — Fri, 10 Apr 2026 14:30:00 GMT

Homes England’s joint venture with Swiss Life Asset Managers and Manchester-based Capital & Centric has made its first acquisition in Manchester.

The Impact & Places Partnership has made its first acquisition in Capital & Centric’s Ferrous neighbourhood in Manchester, a former industrial site on Chapeltown Street.

Ferrous will include 107 rental apartments with a rooftop terrace and resident amenities, including two green pocket parks.

The joint venture has already received planning permission, and construction is expected to start by the end of this year. The first homes are expected to be completed by the second half of 2028.

This project will be the final part of Capital & Centric’s plan for Piccadilly East – which is transforming a once-underused part of Manchester city centre into a thriving neighbourhood with homes, workspaces and a hotel.

The Impact & Places Partnership, launched in November last year, is expected to build over 2,250 homes across the UK.

The joint venture is projected to invest £860m in residential-led regeneration over the next decade in regions with high housing demand.

Homes England has a 40% stake in the joint venture under the terms of the agreement, while Swiss Life and Capital & Centric take a combined 60% stake.

It is supported by the government agency’s newly launched National Housing Bank (NHB), which aims to drive long-term placeshaping and housing investment.

Operating as part of Homes England, the bank deploys flexible, government-backed finance across funds, platforms and partnerships to unlock housing and regeneration projects, crowding in private capital and accelerating delivery at scale.

Over the next decade, the NHB will invest up to £16bn through debt, equity, and guarantee products. It also aims to attract over £50bn of private capital.

Homes England, the government’s housing and regeneration agency, also uses its land, funding and expertise to unlock opportunities for development and support local leaders in bringing forward sustainable, well-designed communities.

Swiss Life Asset Managers has £259bn of assets under management.

John Moffat, joint managing director at Capital & Centric, said: “By bringing together public and private investment, we are unlocking underused brownfield land and turning it into thriving, sustainable neighbourhoods with long-term social impact.

“This is only the beginning, with further projects set to be unveiled later this year.”

Last month, the chair of the NHB told Inside Housing Living that build-to-rent (BTR) is a “particular priority”. The bank launched with a BTR transaction as its first deal.

Homes England has entered several joint ventures with the private sector over the last few years, including the Habiko affordable homes entity with Muse and Pension Insurance Corporation and the Made Partnership master developer with Barratt Redrow and Lloyds.

L&G’s £350m regeneration scheme in Bristol receives approval

Zainab Hussain — Thu, 09 Apr 2026 09:30:00 GMT

Legal & General (L&G) has received planning permission to develop a £350m regeneration scheme in Bristol.

The Temple Island regeneration scheme will transform a former diesel depot site near Temple Meads in the wider Temple Quarter regeneration zone.

It will include up to 520 homes, two office buildings, retail and flexible commercial space, as well as a 164-room hotel with conference facilities.

The scheme will sit between the Bath Road and the River Avon, and create new connections between south Bristol and Bristol Temple Meads station, the new University of Bristol campus and the wider Temple Quarter area.

The asset manager described the approval as “a critical step” towards unlocking the long‑vacant brownfield site, with the masterplan designed by Zaha Hadid Architects.

“Our track record in delivering major regeneration schemes in cities such as Newcastle, Cardiff and Sheffield, together with our strong public sector partnerships, enables us to drive forward place‑based developments that support local needs while delivering for pension savers across the country,” L&G said in a statement.

“The scheme comes forward at a time when development viability across the city is under pressure, and we welcome the Local Planning Authority’s recognition of the substantial benefits Temple Island will deliver: supporting new jobs, enhancing the public realm and contributing to the wider regeneration of Temple Quarter.”

Last month, L&G bought 200 affordable homes at a south London regeneration scheme being built by Dubai-headquartered developer Arada. The investment firm bought the affordable housing element of the Devonshire Place scheme in Southwark in a £46m forward-funding deal.

In February, a joint venture between L&G, a Dutch investor and a UK pension fund bought a site in south London to develop a 700-home build-to-rent (BTR) scheme. It acquired the Lambeth Hospital site from the NHS to build a £350m development, including private housing and homes for social rent.

Sigma Capital interview: ‘I like to think we invented single-family housing’

Zainab Hussain — Mon, 13 Apr 2026 09:16:49 GMT

Sigma Capital has had a huge influence on build-to-rent since it entered the market in 2014. Zainab Hussain sits down with residential investment director Rob Sumner to talk about why the landlord preferred suburban houses from the beginning, its successful REIT and what Sigma makes of the Renters’ Rights Act

Suburban houses, or single-family homes, have come to dominate the build-to-rent (BTR) market. Single-family deals accounted for 58% of total UK BTR investment in 2025, according to property agency CBRE. And Sigma Capital, the Edinburgh-based BTR investor and manager, is happy to take credit for this.

When Inside Housing Living mentions Sigma Capital’s early role in single-family housing, Rob Sumner, its residential investment director, cuts us off, saying: “I like to think we invented it, pretty much.”

Inside Housing Living meets Mr Sumner at Sigma Capital’s modest Manchester office in the city centre, to learn about the firm’s decade-long journey as a single-family pioneer – and where the market might head next.

Sigma Capital has been in the BTR game since 2014. Today, it has £2.7bn of investment under management, 13,100 BTR homes delivered and contracted, and a significant number of homes in its pipeline.

Mr Sumner comes across as confident and eager to talk to Inside Housing Living. He has been at Sigma for 10 years, and has racked up 30 years in the living sector, with stints at property management firm DTZ (now subsumed into Cushman and Wakefield) and Savills.

Where it all started

Sigma Capital’s portfolio is predominantly made up of single-family houses, with a very small number of flats. The BTR landlord forward-funds single-family homes, manages the delivery of those homes, and then its operational platform – Simple Life Management – lets and manages the properties.

It was founded by Graham Barnet in 1996, and he is still the chief executive. Sigma Capital was assisting property-related regeneration projects in the public sector under partnerships with local authorities before its entry into the private rented sector in 2014.

That is when the landlord launched Thistle Investments, its first fund and the first BTR single-family housing fund in the UK, totalling £107m to build 918 homes. It launched a second fund the following year, UK PRS Properties, totalling £100m to build 821 more homes.

In 2016, Sigma Capital secured a major funding agreement from Homes England and set up the Simple Life brand, now the largest BTR single-family housing brand in the UK.

In 2017, it launched PRS REIT, with an initial public offering (IPO) on the London Stock Exchange raising £250m. The next year, the real estate investment trust (REIT) raised the same amount again.

Later, Sigma and EQT Real Estate, the property platform of global investment firm EQT, launched a London joint venture (JV) with an initial £300m equity committed, including £15m from Sigma.

2021 was another big year for Sigma. It sold the Thistle fund to Goldman Sachs, its PRS REIT raised a further £55.6m and it launched the Simple Life London brand.

The next year, the London JV’s initial tranche of equity was committed, with a potential total investment of over £1bn.

In 2024, PRS REIT entered the FTSE 250, having completed 5,400 homes, pushing out Virgin Money.

Sigma also sold the UK PRS Fund to Citra Living, a rental homes company owned by Lloyds Banking Group.

The following year, the PRS REIT portfolio was sold to a group of UK pension funds.

“I think the highlight was probably the launch of the PRS REIT, because I actually got to turn up on that day with the rest of the team and open the London Stock Exchange, which is something that you don’t get asked to do very often,” Mr Sumner says.

“When we launched the REIT, we launched an IPO. Ultimately, we raised £500m of equity, put another £400m or so down on top of that, and populated this real estate investment trust, which performed pretty much flawlessly throughout its life. So that was a real high point,” he adds.

When the BTR landlord entered the single-family market, its aim was to provide good-quality housing for people who couldn’t buy a home. The homes would provide people with the same lifestyle, house type and location as if they were buying, but with an easier access point.

“When I started to get involved in build-to-rent, it was multifamily,” Mr Sumner says, referring to his time at Savills as a director, “but [Sigma Capital] took a slightly different path. Some of the great things about single-family are you can start occupying properties through your build period and start enjoying income at that point, because you’re building houses as opposed to building 200 apartments.

“[Our] long-term goal is to continue doing what we’re doing and take it as far as we can, because the marketplace for what we do is very, very strong.

“We have oodles of demand out there for our stock. We see little reason for that to change.

“Clearly, there’s a few global ructions going on at the moment, so there’s a slight cloud on the horizon, [but] the fundamentals remain the same: people need places to live [and] we’re delivering places to live.”

He says the current round of capital Sigma is deploying will build around 700 homes over the course of this year, at least a further 400 homes into next year, and “a few stragglers that will stretch out a little bit further beyond that”. The BTR landlord will be deploying further capital into the future.

As an early mover in the single-family market, how does Sigma Capital feel about new competition coming in?

“I think we see it as justification for a sector we fundamentally founded,” Mr Sumner responds.

“We’re not just buying already-constructed homes, but aiding the housing demand by creating new homes and neighbourhoods, so we welcome additional entrants to the sector. It can only improve supply and quality for those looking for rental homes.”

The journey

What changes and challenges has Sigma Capital faced since 2014?

“We’ve kind of super-sized our proofs of concept from those earlier funds, to [take] a much more national approach to our portfolio,” Mr Sumner says.

Investment firm secures £53m financing from Investec for 293-home acquisition

Zainab Hussain — Wed, 08 Apr 2026 15:30:00 GMT

LRC Group has secured a £53m investment financing deal across a series of transactions with Investec Bank to support its acquisition of 293 homes.

The homes will be located across Hounslow and Surrey Quays in London, and Bedford in the East of England.

They will form part of LRC Group’s continued expansion across the UK residential sector, focused on value-add and income-producing multifamily properties in strong rental locations.

The financing deal is structured to provide execution certainty and flexibility across multiple acquisitions. It also builds on an established relationship between Investec and LRC Group.

LRC Group operates around 6,800 flats through three residential funds backed by institutional capital across the UK and Ireland.

It continues to have an appetite to support both development-led and stabilised income-producing residential properties, partnering with experienced sponsors and investment managers through financing solutions, Investec said.

Investec Bank has operated in the UK since 1992. It is the banking subsidiary of Investec, a FTSE-250 listed company.

Sebastian Walley, loan originator at Investec Real Estate, said: “Building on a structure that has worked well across the relationship, Investec was able to shorten timelines and deliver the execution certainty required to support these acquisitions.

“The focus throughout has been on aligning the financing with LRC Group’s investment strategy, while enabling efficient deployment of capital as the portfolio continues to expand.”

In January, Inside Housing Living revealed the identity of an unnamed real estate investor that had bought 1,300 student homes across the UK to be giant US asset manager Nuveen.

Nuveen had entered a joint venture with London private equity firm Orka Investments to acquire an initial 1,300 student beds, with plans to keep growing the portfolio.

The partnership was launched with three off-market acquisitions in December 2025, supported by a facility from Investec.

Build-to-rent deals surge to almost £800m in first quarter of 2026

Zainab Hussain — Wed, 08 Apr 2026 10:30:00 GMT

Data by Savills has shown that build-to-rent (BTR) deals have surged to £795m during the first quarter of 2026.

This is the highest first quarter of investment in the sector since 2022, which was just under £2bn.

Activity was driven primarily by investors acquiring operational stock, which accounted for 68% of investment, said Laura Skoda, an associate director at Savills Operational Capital Markets.

More than 60% of those transactions were in London, with significant capital still targeting well-located, income-producing properties, she explained, and the flow of transactions is expected to remain strong as the year progresses.

Pension Insurance Corporation’s (PIC) purchase of the Ebb & Flow scheme in Reading, from Lincoln MGT, marked the largest acquisition of an operational property outside of central London on record.

In December last year, Inside Housing Living broke the news that PIC was set to buy the 598-home scheme for around £210m.

Following a bumper end to 2025, single-family housing investment volumes had a slower start to 2026.

But with several large transactions currently progressing through legals, Savills expects to see strong numbers in quarter two of 2026.

The number of BTR homes under construction across core cities – including Manchester, Birmingham, Leeds, Glasgow, Edinburgh, Sheffield, Liverpool, Bristol, Cardiff, Nottingham, Belfast and Newcastle – has continued to fall.

Belfast, Glasgow and Nottingham had the lowest number of BTR homes under construction, while Manchester, Birmingham and Leeds had the highest number.

Richard Valentine-Selsey, head of European living research at Savills, said that the total number of BTR homes in the pipeline across the UK’s core cities was around 108,000 at the end of quarter one of 2026 – up 3% from last year.

He noted, however, that the challenges facing urban high-rise development have continued to impact construction activity.

Between quarter one of 2025 and quarter one of 2026, the number of homes under construction across the core cities fell by 11% due to completions outstripping new starts.

Mr Valentine-Selsey added that this trend is likely to continue, as transactions take longer to progress when impacted by planning, building safety regulation and construction cost inflation.

Last month, developers warned that the conflict in Iran could push up construction and energy costs, reducing the likelihood of a rapid rise in housebuilding.

In January, a report on London housing development by consultancy Molior found that construction starts on private homes in London have fallen by 84% in a decade. In 2025, 5,547 homes for private sale or rent were started in the capital, down from 33,782 starts in 2015.

A report by property agency CBRE also showed in January that investment in UK BTR rose 14% in 2025. Total UK BTR investment volumes were just under £4.7bn in 2025, and a further £1.9bn of investment was under offer.

Single-family investment volumes reached £2.7bn, up 56% year-on-year, with £1.56bn transacting in the fourth quarter of 2025.

But investment volumes in multifamily BTR – urban flats – totalled £1.97bn, down 16% year-on-year. Over £550m of urban flats was transacted in the fourth quarter of the year.

Wall Street giant buys UK’s biggest single-family manager

James Riding — Thu, 02 Apr 2026 15:30:00 GMT

A giant US asset manager has entered the UK’s suburban build-to-rent market by acquiring landlord and management company, Gatehouse Living.

New York-headquartered Apollo Global Management has purchased Gatehouse Living Group, one of the UK’s biggest managers of single-family build-to-rent homes. Financial terms of the deal were not disclosed.

Apollo’s acquisition from Kuwaiti-owned Gatehouse Bank includes both arms of Gatehouse Living. The first is Gatehouse Investment Management, which manages single-family homes for investors, including Carlyle and Greykite.

Gatehouse Investment Management has built up and sold portfolios for a series of investors that include Goldman Sachs, KIA and TPG, and acquired more than 5,000 homes from the UK’s largest house builders.

It currently manages a portfolio for Carlyle, although a sales process is ongoing, and Greykite, which is aiming to create a £750m portfolio.

In addition, Apollo is acquiring Ascend Properties, Gatehouse Living’s property management arm, which manages over 10,000 single-family homes for both Gatehouse and third-party clients such as PRS REIT and Lloyds Living.

Gatehouse Living Group will continue to be led by chief executive Paul Stockwell and its management team, and it will be rebranded with an announcement in due course.

The group will invest its own capital and that of its third-party partners, and Ascend will maintain its property management services for external institutional portfolios.

Apollo, which has $938bn (£708bn) of assets under management globally, is already active in the UK housing sector via Foundation Home Loans, its specialist mortgage lender, and its house builder Miller Homes.

Gibson Dunn are serving as legal counsel to the Apollo funds.

Paul Stockwell, chief executive of Gatehouse Living Group, said: “Gatehouse Living Group has led the growth of institutional rental housing, creating a prominent platform that strategically supports the sector and accelerates the delivery of much-needed high-quality housing throughout the UK.

“This transaction with Apollo is a testament to the strength of our holistic investment and property management platform and will support our continued expansion in the market.”

Edward Jones, partner at Apollo, said: “Gatehouse Living Group, under Gatehouse Bank’s stewardship, has established itself as a vertically integrated leader in the UK housing sector, supporting the supply of high-quality, professionally managed rental homes.

“We look forward to working closely with management to further enhance and expand its operational capabilities and to supporting the platform’s continued success as the UK focuses on bolstering homebuilding across tenures and attracting more investment to the sector.”

Charles Haresnape, chief executive of Gatehouse Bank, said: “We are incredibly proud of the success achieved since Gatehouse Living Group launched its first investment in 2014 and the critical role we have played, as an early entrant, in establishing the UK build-to-rent market.

“The sale is part of Gatehouse Bank’s long-term retail growth strategy and will allow for further development of its home finance product offering, which has seen strong demand supporting UK resident, UK expat and international homebuyers and landlords.

“We are confident that Gatehouse Living Group is well positioned today to continuing building on its strong foundation, supporting the supply of new rental homes in the UK.”

Earlier this month, US investor Kennedy Wilson and Canada Pension Plan Investment Board announced they had bought 788 suburban build-to-rent homes across the UK for £300m.

In February, the UK’s largest local government pension scheme pool, Border to Coast Pensions Partnership, entered the suburban build-to-rent market in a £70m deal.

Meanwhile, in January, US private equity giant Blackstone put its suburban build-to-rent business on sale for over £1bn.

Six months to go: it will pay to prepare for the Building Safety Levy

Stefanos Cholevas — Thu, 02 Apr 2026 13:10:12 GMT

Housing developers need to factor in the new levy from the beginning of October. Knowing what’s coming and what’s required will help manage the pain, writes Stefanos Cholevas, project director at consultancy Stace

The UK residential development sector has come under enormous structural pressure recently, not least because of the Building Safety Act 2022 (BSA) progressively reshaping development processes.

Amid a slower planning and regulatory environment and higher compliance costs, residential developers now face another demand from the new Building Safety Levy (BSL), which comes into force on 1 October this year.

A core rationale for the BSL is shifting the onus of financial responsibility for remediating structural defects in new residential buildings onto developers. The levy aims to raise £3.4bn over the next 10 years from new developments to pay for correcting such building safety defects while relieving leaseholders and taxpayers of these costs.

Facing another layer of cost and statutory requirements as the sector gets to grips with the current requirements of the BSA comes at an unhelpful time for the residential sector. But the BSL is on its way – so what do developers need to know to get prepared?

In or out?

It is worth looking at what is covered by the BSL and what is exempt. The levy will apply to a broad range of private residential schemes, including new private residential buildings, build-to-rent developments, purpose‑built student accommodation (PBSA), later living and retirement housing and mixed‑use schemes containing residential floorspace.

Exemptions are social and supported housing, hospitals, care homes, hotels, school accommodation, temporary homeless accommodation and domestic abuse refuges, sites with fewer than 10 dwellings (or fewer than 30 PBSA bedspaces), and non‑profit registered providers and their wholly owned subsidiaries.

Crunching the numbers

Levied at the building control stage, the BSL is chargeable on a £/square metre rate basis, which is set by each local authority when they publish their annual BSL schedules.

As an example, Kensington and Chelsea in London would be subject to the highest rate of £100.35 per square metre, with County Durham adopting the lowest rate, £12.70 per square metre. Partial reliefs apply to previously developed land.

The chargeable area includes all residential units, communal spaces, corridors, lobbies, circulation and internal ancillary areas. For the calculation of the BSL, developers must provide suitable information as part of their Building Control Application regarding the number of dwellings or PBSA bedspaces, the total chargeable residential floorspace, planning information and supporting evidence for any exemptions or reliefs they believe will be applicable on the final calculation.

Any subsequent planning changes to a scheme’s design, chargeable floorspace or exemption status may trigger a recalculation of the BSL.

The levy must be paid after construction has started, but before occupation or completion‑stage submissions. Where developers fail to make the statutory payments in full prior to completion of the development, final certificates can be withheld, resulting in a delay to legal occupation.

How to plan ahead

Navigating the further challenges this presents to viability and the impacts on gross development value (GDV) will require careful management and cost consultancy. With all this in mind, we are advising clients to pay particular attention to the following.

Where a consented residential scheme falls under the provisions of the BSL, developers must ensure that the Building Control Application has been concluded before the BSL enforcement day of 1 October 2026. As the legislation does not include any provisions for a transition period, any application submitted later than this date will automatically trigger the BSL liability.

For phased developments, earlier stages may be exempt, while those phases commencing after 1 October 2026 will be liable, proportionately to their floor area.

For developments where commencement is not projected, or where they are at risk of not meeting the BSL enforcement date, developers should be aware of the levy’s likely impact on the scheme’s GDV and its overall viability. As a result, they might want to consider adjusting the reduced residual land value.

The impact of programme delays on being able to meet the deadlines, alongside the risk of potential bottlenecks for approved inspectors and local authorities close to the deadline, should be considered and mitigated where possible. With just six months to go, proactivity will pay dividends.

The BSL introduces a new layer of regulatory cost at a time when the construction industry is already experiencing reduced output, declining planning activity and heightened compliance complexity.

Developers should carefully consider the implications of the BSL in their appraisals, particularly in conjunction with the challenging market conditions.

Stefanos Cholevas, project director, Stace

Commonhold is coming, but will it drive standards up for managing agents?

Andrew Bulmer — Thu, 02 Apr 2026 06:30:00 GMT

Commonhold could be the default tenure on the sale of new flats by the end of this decade. It’s time to prepare, says Andrew Bulmer, chief executive of professional body The Property Institute (TPI)

The government’s policy on ground rents may have captured the headlines, but, for me, the standout announcement on the draft Commonhold and Leasehold Reform Bill was the move to make commonhold a workable tenure – indeed, the tenure of default, with a future ban on the sale of leasehold flats.

It was the will of parliament in 2002 to have a workable commonhold system. Instead, what was delivered was ineffective and full of legislative holes. There was a lack of incentive to adopt it on new developments, and a high bar to convert existing developments (100% of all qualifying leaseholders).

No one, least of all the government, had driven preparedness. As a result, most parties to the homebuying process – lenders, conveyancers and insurers – were ill-prepared.

Can it work now? Absolutely. A co-proprietor tenure is effective in most other countries, such as France, the USA, Australia, or closer to home in Scotland.

Will it happen? There have been a few false dawns that have bred deep scepticism in the housing and development sectors. The publication of the draft bill is a government statement of intent. There is also strong backbench support across all parties, and that leaves the government with little room for further delay.

If all goes well, commonhold could be the default tenure on the sale of new flats by the end of this decade. I would suggest, therefore, that the time for scepticism is over. It is time that we all start to prepare.

A useful consultation paper, issued alongside the draft bill, indicates that the impact will be negligible for some sectors, for example rental sectors such as social housing or build-to-rent. Besides these, the government indicates exemptions will be minimal.

“If all goes well, commonhold could be the default tenure on the sale of new flats by the end of this decade. I would suggest, therefore, that the time for scepticism is over. It is time that we all start to prepare”

For the development and housing management sectors, the unknown nature of commonhold may appear daunting, but both sectors have been adapting to the desire for more resident control over the past decade. Most large housing developers these days sell houses with 999-year leases, run by homeowners through resident management companies (RMCs), what the sector calls ‘commonhold-lite’.

The property management sector, which I represent, has experienced a sea change in homeowner-run blocks. About 60% of the buildings now managed by TPI members are under resident control or ownership, via RMCs or right-to-manage (RTM) companies, rather than owned by third-party landlords. A third of those blocks are owned by the residents, through collective enfranchisement.

The sector is therefore well used to working with homeowners on the management of their blocks.

The move to commonhold brings an associated issue into sharp focus which TPI, alongside many other stakeholders, has campaigned long and hard on: the regulation of managing agents, as recommended by the Regulation of Property Agents report produced by a working group chaired by Lord Best in 2019.

In a world where more homeowners are collectively choosing their managing agents, there should be some checks that those agents are qualified, competent and fit for purpose, rather than the current situation where effectively anyone can call themselves a property manager.

The recent building safety regulatory regime also highlighted the importance of owners and managers proving their competence. Should that seriously be left to anyone on the street?

The government has consulted on mandating qualifications in property management, and possibly also requiring continuing professional development (CPD) for the sector. At TPI, we welcome this proposal. It is a step already taken in the social housing sector, where mandatory qualifications for senior staff were introduced in October 2025.

“The government has consulted on mandating qualifications in property management, and possibly also requiring continuing professional development for the sector. It is a step already taken in the social housing sector”

The government has suggested it could mandate qualifications in property management through an arm’s-length arrangement, working with designated professional bodies. TPI might be one, should we be invited. TPI has invested heavily in a range of Ofqual-accredited and constantly updated qualifications and CPD for the profession. Mandating qualifications is not part of the draft bill though, but we hope it will be part of a full bill to follow.

The draft bill is being scrutinised by the Housing, Communities and Local Government Committee. This may pave the way for a full bill in the King’s Speech, and its publication in the second half of this year.

Of course, just because we may get a workable commonhold tenure, that doesn’t mean leasehold will disappear. A sizeable part of the existing leasehold sector will either choose not to convert, nor wish to spend the money on doing so, even with a lower threshold of a simple majority of qualifying leaseholders. Many property managers will therefore have to become experts in operating in both tenures.

The legislative process provides time for the professions, businesses and individuals who are impacted by commonhold to prepare. We must all use our time wisely.

In moving to a model where more homeowners will be running their blocks, there is a compelling case to mandate qualifications for managing agents, and to regulate our profession.

Andrew Bulmer, chief executive, The Property Institute

‘We need to play catch-up’: inside Scotland’s return to build-to-rent

Keith Cooper — Wed, 08 Apr 2026 15:18:59 GMT

Build-to-rent homes in Scotland are now exempt from rent controls after years of uncertainty. Is this enough to restart the market? Keith Cooper investigates

For three years, Scotland has been the pariah of the UK build-to-rent (BTR) market. But that should soon end, when the fine print is finalised on its long-awaited exemption from the country’s rent controls.

Come the Scottish parliament elections in May, the regulations that detail exactly how BTR and mid-market rental homes will be excluded from the rent-capping regime introduced by the Housing (Scotland) Act 2025 should be in force.

This will finally exempt the sector from wide-ranging “emergency” rent controls introduced by the Scottish government in 2022 to ease the impact of the cost of living crisis.

While the UK enjoyed its busiest-ever year for BTR planning submissions in 2024, in Scotland they hit rock bottom. Just 759 BTR homes were submitted to Scottish planning authorities that year, falling from the peak of 2,683 in 2023, according to consultancy Bidwells.

“Applications pretty much stopped when the temporary legislation from housing for rent caps was introduced,” says Iain Murray, its head of operational living.

“The emergency rent controls moved the goalposts and meant Scotland was completely off the menu for all investors,” adds Guy Whittaker, head of UK BTR research at Savills.

So how has Scottish BTR exemption landed with investors and developers? Will 2026 mark a turning point in its stalled market? And how will Scotland’s experience impact this sector across the UK?

The vibe from investors, developers and consultants in Scotland is one of cautious optimism. While a legally enshrined exemption is welcome, the introduction of rent controls did a lot of damage. There was once a healthy supply chain of land, plans and developments. That brought with it evidence of Scottish BTR as a reliable and tradable asset, which is needed to get investors on board.

The market has been effectively “reset’, Mr Whittaker says. “It’s quite easy to destroy confidence and takes quite a bit longer to build it back.”

In February, Mr Murray went on a tour of stalled sites with the potential for thousands of homes, across Glasgow and Edinburgh, along with the Scottish government’s cabinet secretary for housing, Màiri McAllan. He says investors on the tour were “very interested” in the BTR market.

“There were investors that had been here before that are coming back and new ones that had not looked at Scotland but are definitely looking now,” Mr Murray adds.

Developer Moda Group brought forward three BTR schemes in Glasgow and Edinburgh before the 2022 controls. James Blakey, its planning director, says there is a “growing sense of optimism and confidence” in the market.

“We’ve dusted off appraisals and we’ve recommenced and refreshed conversations we’ve been having with landowners, with other stakeholders, and other developers,” Mr Blakey adds. “Scotland is a fantastic place to invest in build-to-rent. We saw that before 2022 and we’re confident in terms of 2026 onwards.”

John McDonald, managing director of investment projects at major BTR contractor Graham Group, has also seen “renewed interest” in Scotland from investors in recent months as markets in regional English cities such as Manchester and Sheffield have become more challenging.

“We’ve got a number of sites sitting on our desk, but we just need to get that confidence in the financial close and the ability to transact.”

But despite this re-piquing of investors’ interest, BTR developments in Scotland face the financial viability issues afflicting other residential sectors and countries of the UK.

“When the Housing Bill issue was resolved, people thought there would be a flood of activity. But there are still very, very serious viability challenges,” Mr McDonald says. “Construction costs have risen significantly, and funding costs have moved out [gone up] in the last couple of years as well.”

Consultants say the market has also moved on in the past three years, with investors more interested in developments of new single-family homes in suburbs instead of the city centre blocks that figured prominently in the pre-freeze market.

“As the living sector matures, high-amenity multifamily stock will still be a large part of the sector, but it will branch out into other forms of residential investment,” says Steven Hendry, a senior director in Scottish investment properties at real estate investment firm CBRE.

“In most of the conversations I’m having with investment capital keen to deploy into the sector, single-family housing is high up the list of requirements. We need to play catch-up in Scotland.”

Mr Hendry says that he is “broadly positive” about the BTR market, but that new funding arrangements are needed, including public sector involvement to get development going again, especially outside the main market epicentres of Edinburgh and Glasgow.

“If we’re going to crack the nut here, it requires a fresh look at how we actually fund housing,” he adds. “We have to find alternative funding structures that will attract capital to locations that perhaps it may not have looked at traditionally. How do we get capital to go and look at locations out with the central belt?”

There is some optimism that interventions by the Scottish government, such as the creation of new development agency More Homes Scotland, may help to ease some of the broader development industry’s viability challenges that are holding BTR back, too.

“We think the new housing agency will work by helping stalled sites move forward into the market and make them viable for delivery. But the full parameters are not yet known,” says Moda’s Mr Blakey.

Bidwells’ Mr Murray points out that the Scottish market is also immune from two main “headwinds” in England: its recent introduction of the Renters’ Rights Act, and the prolonged and costly delays to developments awaiting so-called Gateway 2 approvals.

“There are no real delays like that in Scotland, and we introduced similar forms of protections for renters’ rights many years ago,” Mr Murray adds. “So these two things have really flattened the landscape for development in Scotland.”

And perhaps unsurprisingly, given the lull in BTR development in recent years, demand for the tenure is strong in Scotland as continued supply in some English cities has made them less enticing prospects for investors. Less than 2% of demand for this sort of product is now met in Scotland, compared with around 4% across the UK, according to Bidwells.

Ashley Perry, acquisitions director of multifamily housing at property investor Apache Capital, says it is “very clear” that there is a lack of supply in most of the major cities in Scotland, but singled out Glasgow for having a more “favourable planning environment”.

“Edinburgh has all of the challenges of a historic city with a challenging planning environment,” he adds.

Figures supplied by Glasgow City Council suggest that demand is particularly high in Scotland’s most populous city. Only 2,000 of its 310,000 privately rented homes are BTR.

“In most of the conversations I’m having with investment capital keen to deploy into the sector, single-family housing is high up the list of requirements. We need to play catch-up in Scotland”

Inside Housing Living asked Edinburgh, Glasgow and Dundee city councils about their appetite for BTR.

Only Glasgow responded: “There are extensive development and investment opportunities in Glasgow and considerable demand and need for housing… in the city,” a spokesperson says. “Increasing development activity in private housing tenures can work in parallel with growth in affordable housing provision, and can provide the mixed tenure and range of housing options needed in communities.”

The Scottish government says its ministers acted “swiftly and decisively” to exempt mid-market and build-to-rent properties from rent control to ensure “investment confidence and tenant protection”.

“The response from the investment community has been very positive,” a spokesperson adds.

While the investors, developers and consultants we spoke to welcomed the government’s enthusiasm for BTR, they do not expect a sudden market upsurge anytime soon.

“It’ll take a little bit of time for the speed to come up; it’s a gentle acceleration rather than a drag race,” Mr Murray says. “I hope the viability challenges will move in the right direction, but it may not be that they’re addressed overnight, and development may still be constrained as a result. It’s going to be a slow burn.”

Newly merged trade body Real Estate UK appoints chief executive

James Riding — Wed, 01 Apr 2026 10:30:00 GMT

Real Estate UK, the newly merged property trade body, has appointed its chief executive.

Vanessa Hale will lead the new lobby group, which officially launches on 30 April following a merger of the British Property Federation (BPF), Association of Real Estate Funds (AREF) and Investment Property Forum (IPF).

She will join Real Estate UK in July from BNP Paribas Real Estate, where she was head of research and strategy and a member of the UK executive leadership team.

Ms Hale has 20 years of experience in research and strategy in the built environment, providing advisory services across the build-to-rent, office, retail and industrial sectors.

She served as the youngest chair of the Urban Land Institute (ULI) UK, and regularly liaises with government bodies and media.

The merger of the AREF, BPF and IPF is expected to complete on 30 April, following a vote last year across the organisations’ memberships to create a single voice for the UK property sector.

The new group will represent institutional and private investors, property companies, developers, asset owners, managers and advisors.

Its activities will be based around: advocacy; research and data; thought leadership and innovation; networking and events; upskilling and training; and standards and guidance.

The Board of Real Estate UK will initially be chaired by Anne Breen, global head of real estate at Aberdeen and current chair of AREF, and will include industry representatives nominated by each organisation.

Ms Breen said of Ms Hale’s appointment: “With her breadth of experience and strong industry credibility, she will be a powerful advocate for UK real estate and is ideally placed to lead the new organisation as it brings the industry together with a single, authoritative voice.

“I’m certain her commitment to sustainability, diversity and supporting the next generation of talent will set a strong and progressive direction for the industry.”

Simon Carter, president of the BPF and chief executive of British Land, said: “Vanessa was the standout choice to lead Real Estate UK.

“Her compelling vision for the organisation and experience across all asset classes and leading ULI UK will be invaluable as we partner with government to unlock more capital to invest in our towns and cities.”

Ms Hale said: “We have a huge opportunity to create a new single convenor and voice for UK real estate building on the successes of AREF, BPF and IPF, and I look forward to working with Anne and the Real Estate UK Board to bring that vision to reality, for the benefit of the sector and all our current and future members.”

Prior to joining Strutt & Parker (later acquired by BNP Paribas Real Estate), Ms Hale worked in the United States, focusing on Chicago office market analysis and corporate workspace strategies.

She has served as a member of the commercial property forum of the Ministry of Housing, Communities and Local Government and on the Property Industry Alliance board.

National Housing Bank top team on prioritising build-to-rent and Heylo administrations

James Riding — Wed, 01 Apr 2026 11:49:19 GMT

The chair of the newly launched National Housing Bank tells James Riding that build-to-rent is a “particular priority”, while Homes England’s chief executive reflects on Heylo’s subsidiaries going bust

The National Housing Bank, a new subsidiary of Homes England, has launched with a build-to-rent (BTR) transaction as its first deal.

The bank is a government public financial institution backed by up to £16bn of public funding that can be deployed as debt, equity or guarantees.

Its first bank-backed investment is a £100m suburban partnership with insurance giant Aviva to build 3,300 homes with developer Place Group Capital. This includes an initial 300 single-family homes in Liverpool and Manchester, aimed at “a market segment of working families”.

Peter Vernon, chair of the National Housing Bank, says that BTR is a “particular priority” for the institution.

Speaking to Inside Housing Living at a launch event for the bank in Westminster, Mr Vernon says that BTR has a “really important role to play” to increase housebuilding.

“The reason why build-to-rent is a particular priority is, first of all… the sector has been growing,” he says.

The UK’s BTR stock grew 13% in 2024 to 146,700 completed homes, according to Savills, although completions have exceeded starts for eight consecutive quarters.

“This is becoming really significant,” the chair says. “Unfortunately, it’s tailed off. We’d like to actually try and turn that round and continue to see that increasing output.

“It’s still clearly a small sector compared to other countries, like the US and Germany, for example. So there is that potential there.”

Mr Vernon, a former member of the British Property Federation’s policy committee and the government’s Montague Review of the private rented sector, says that build-to-rent is crucial to the National Housing Bank’s goal of speeding up housebuilding.

The lease-up of a BTR development is “significantly faster” than the absorption rate of build for sale, he says. If the bank can introduce build-to-rent into multi-tenure site delivery, then “we’re going to build out those sites faster than we would if we were only building build-for-sale and affordable”.

He adds: “When you think about what we’re trying to achieve, which is permanently increase the rate of housing output… I think it’s got a really important role to play, and that’s why it’s a priority.”

Amy Rees, chief executive of Homes England, says there is growing demand for new private rented homes in cities.

“I think it is also just the way society is moving, that there will be an appetite from some people that this is the way they would like to live and work and be in big cities in particular,” she says.

“We are now a permanent institution, meaning our ability to do this over much longer periods at a very different scale has now come to life”

The National Housing Bank’s focus on BTR suggests Homes England is lifting its gaze from purely affordable housing, but Mr Vernon says: “It’s definitely not either/or – it’s definitely both.”

“We’ve got to turn all the taps on full. So it’s not one versus the other,” he adds.

Asked about the National Housing Bank’s focus on debt, equity and guarantees, Ms Rees says: “I don’t think this means grant is less important… We’re hoping that you can spread grant a bit further by using things like guarantees as well. Because, of course, there is a limit to how much grant we can get.”

Homes England has provided debt, equity and guarantees “for a long time”, she says, but this was done through “pots of money with a defined ending, in a framework that was set for spending departments, not for people trying to do complex financial transactions”.

“We are now a permanent institution, meaning our ability to do this over much longer periods at a very different scale has now come to life,” she says.

Mr Vernon adds: “If there’s a viability gap, for example the high cost of initial infrastructure… grant is the solution to that problem, and grant is limited.

“The bank’s products are really about helping to deliver faster and more when that viability problem has been largely solved.”

The bank aims to use its public funding to unlock an additional £53bn of private investment over the next 10 years.

“There are challenges in the market, not just in the UK, but internationally,” says Mr Vernon. “It’s important to remember that there are certain features in the UK market that are attractive to international investors – we should remember that. Stable government, for example, being one.

“There is a significant interest and demand for investment in housing. And I think if we’re talking about long-term investment, then we’re really talking about build-to-rent, for example, [and] affordable housing.

“It’s really about trying to help deliver the investment products that meet the requirements of those funders.”

The risk profile of investors will change, Ms Rees says. “I mean, it may even be changing now. We’ll have to see what happens in the Middle East.

Providing a “permanent institution that you know will be there and can change and pivot, perhaps bring forward new products” if the risk changes, is also “hugely important”, she says, “not just for actually doing the things, but also for giving people confidence in the market”.

Earlier this month, Inside Housing Living broke the news that four subsidiaries of shared ownership specialist Heylo Housing Group had entered administration. Is there a lesson here for the wider for-profit affordable housing sector?

“It’s important to remember that there are certain features in the UK market that are attractive to international investors”

Ms Rees says “we’re not going to comment on individual providers and individual situations”, but “we very much take our lead” from the Regulator of Social Housing.

She cites rules in the Social and Affordable Homes Programme about whether someone can bid for an ‘SP-plus’ strategic partner status, which hinge on the judgements a registered provider has received from the regulator.

“There is a lot of regulation in the world, that also goes along with the Homes England schemes,” she says. “And more broadly, if there is learning – and again, I think it is too soon to tell – we will work with government, in particular, because… a lot of the policy provision, regulations… are really set by government as opposed to by us directly.”

Homes England’s previous Affordable Homes Programme, which ran from 2021 to 2026, was rocked by construction cost inflation and higher borrowing costs after Russia’s invasion of Ukraine in 2022. With energy costs set to rise due to the impact of the Iran war, is the sector facing a similar situation?

“The honest answer is we don’t know,” Ms Rees says. “Some of it will depend, I guess, on if this de-escalates, how quickly; how it ends as well.”

Homes England now has “quite a lot of experience” of downturns, she says, including the Covid pandemic and the 2008 financial crisis.

“What we are trying to do now is plan for all eventualities,” she says. “We are more important when it’s countercyclical, so what we must be… is fleet of foot and ready to respond to whatever those challenges are. But the honest answer is, we don’t know what they are at the moment.”

USS buys majority stake in investment manager Venn

Zainab Hussain — Wed, 01 Apr 2026 10:56:49 GMT

Universities Superannuation Scheme (USS) has bought a majority stake in Venn, the investment manager that funds build-to-rent and affordable housing, backed by UK government guarantees.

USS, the sole corporate trustee of the Universities Superannuation Scheme pension fund, will acquire a majority interest in Venn, acting as a “long-term, patient capital provider”.

Under the deal, investment manager ESR will fully exit from Venn to focus on logistics real estate and data centres, while Venn’s management team will increase its ownership stake in the business.

The USS deal will enhance Venn’s capacity to deploy capital across the UK housing market, the organisations said.

It will also reinforce Venn’s mission to provide “scalable, institutional-quality financing solutions” to develop homes, unlock demand for homeownership and contribute to the long-term resilience of the UK housing market.

Venn said its next phase of growth will be built on the burgeoning requirement for private capital investment in the residential sector; the increase in allocations from institutional investors for high-grade private market products; and Venn’s specialisation within the residential market.

Subject to regulatory approvals, the transaction is expected to complete in the second quarter of 2026.

Venn, founded in 2009, has assets under management and active mandates totalling over £11bn across various residential markets in the UK and Europe.

It operates two lending programmes on behalf of the UK government: the £3.5bn Private Rented Loan Guarantee Scheme and the £6bn Affordable Housing Loan Guarantee Scheme.

The investment manager currently manages over £10bn across four strategies in the UK. Two of its strategies support the development of new homes in the affordable housing and private rental sectors, while the other two focus on unlocking homeownership for households underserved by traditional mortgage products.

USS, established in 1974, is one of the largest pension schemes in the UK. As of March 2025, its total assets are around £76.8bn. It is already active in the UK affordable housing sector through its for-profit registered provider Sparrow Shared Ownership.

Gary McKenzie-Smith, managing partner at Venn, said: “Over the last 15 years, Venn has carefully put in place the foundations for a business that is able to channel institutional capital at scale into the residential sector.

“This includes diligent strategy selection and origination protocols, robust parameters in underwriting and risk management, and a well-constructed and scalable operating infrastructure.”

Eamon Ray, head of private credit at USS Investment Management, said: “This new partnership reflects USS’s support for the UK residential market, a sector that can deliver high-quality, long-duration, inflation-linked exposure, while also providing valuable housing options across the UK.

Mr Ray added: “We see Venn as a complementary strategic partner to grow our involvement in the UK residential market, following our launch of Sparrow Shared Ownership, a registered provider of more than 3,000 shared ownership homes across the UK, and the successful execution of Summerhouse, our securitisation of a portfolio of equity release mortgages.”

Earlier this year, Venn’s managing director Oriane Auzanneau told Inside Housing Living how government guarantees are reshaping housing finance and building investor confidence.

Green light for 1,945 student homes near Tate Modern

Zainab Hussain — Tue, 31 Mar 2026 11:11:14 GMT

Southwark Council has granted planning permission for a 1,945-bed student housing scheme.

The London School of Economics and Political Science (LSE), in partnership with developer Bouygues UK and investor Equitix, has received approval for its Bankside House redevelopment project.

The project will involve replacing an existing office conversion with a purpose-built student accommodation (PBSA) scheme containing 1,945 beds.

The scheme will be located at 24 Sumner Street, close to the Tate Modern and the South Bank.

It will comprise three stepped towers of 24, 26 and 28 storeys, linked by two low-rise pavilions. Public routes will connect Sumner Street with the wider South Bank quarter.

The investment supports LSE’s 2030 strategy goal to offer 6,000 university-controlled bed spaces and guarantee an accommodation offer to every new first-year student.

LSE has more than 12,000 full-time students, around 60% of whom rely on London’s private rental market for accommodation. The Bankside redevelopment will make a major contribution to closing that gap, Bouygues said.

All student rooms will be offered at sub-market rents, with 15% of bed spaces meeting the London Plan’s definition of affordable student accommodation.

The scheme will target Building Research Establishment Environmental Assessment Method (BREEAM) ‘excellent’, with an aspiration to achieve an ‘outstanding’ rating. It will also aim for Passivhaus certification for operational energy performance.

The scheme will be all-electric, with insulation and rooftop solar panels.

Other community benefits will include a publicly accessible community hub curated by LSE, community classrooms for local education partners in Southwark, and a public cafe and independent retail unit.

Bouygues will submit its Gateway 2 application next, ahead of a planned start on site in 2027. The scheme is scheduled to open before September 2032, to welcome its first cohort of students at the start of the academic year.

Oliver Campbell, managing director, development at Bouygues UK, said: “Securing planning permission for Bankside House is a landmark moment for Bouygues UK and for the student accommodation sector in London.

“In partnership with LSE and Equitix, we’ve developed a scheme that puts affordability, sustainability and community at its core.”

Julian Robinson, director of estates at LSE, said: “This is the culmination of a 10-year engagement with the borough on the redevelopment of our Bankside residences.”

Earlier this month, Camden Council said it must explore partnerships with institutional funders to build more homes, including PBSA.

In December last year, Blackstone also received planning approval to build 600 student beds and 71 social rent homes in south London.

Singapore-based real estate manager winds down $1.3bn student accommodation fund

Zainab Hussain — Tue, 31 Mar 2026 11:35:21 GMT

Mapletree Investments has begun winding down its $1.3bn (£1.02bn) purpose-built student accommodation (PBSA) fund across the UK and the US after falling short of its performance targets.

Mapletree Investments has begun selling properties from its Mapletree Global Student Accommodation Private Trust (MGSA), after it achieved a net internal rate of return of 1.1% at the end of 2025 – falling significantly short of its 12% target, Bloomberg reported.

The fund was launched in 2017 with $1.3bn (£1.02bn) in assets and has since declined to around $700m.

It includes over 14,000 student beds across the UK and US markets.

The fund was backed by $535m in equity from investors including Great Eastern Life, DBS Bank and UBS.

After a proposal to extend the fund was rejected, investors are now expected to recover less than 80% of their capital, according to Bloomberg.

Last year, Mapletree Investments sold 750 beds across its Beaverbank Place scheme in Edinburgh and Firhill Court scheme in Glasgow to Ottoway Portfolio Holdings.

In October 2024, the real estate manager put its portfolio of 24 UK PBSA properties up for sale to secure returns for its investors.

The properties are located in London, Lincoln, Liverpool, Birmingham, Manchester, Sheffield, Nottingham, Leicester and Aberystwyth. They were reported to be valued at around £450m.

A spokesperson at Mapletree told Inside Housing Living: "Mapletree Global Student Accommodation Private Trust’s (MGSA) wind-down is due to the fund reaching its end of life and does not reflect a change of the Group’s strategy or direction.

"Student housing continues to be one of Mapletree’s core sectors."

Earlier this year, giant student accommodation provider Unite Group lowered its profit outlook for the third time in four months and cut rents in some cities amid a fall in the number of international students coming to the UK.

Last spring, Singapore developer Q Investment Partners secured a £14m loan from Maslow Capital to deliver a student housing scheme in Edinburgh. The development represented the fourth funding arrangement between the two firms, taking the total financed across their partnership to more than £61m.

British Land and AustralianSuper’s revised 4,000-home Canada Water masterplan approved

Stephen Delahunty — Mon, 30 Mar 2026 11:18:35 GMT

Developer British Land and pension fund AustralianSuper have secured approval for a revised 4,000-home masterplan in Canada Water, east London.

City Hall has approved the revised masterplan, which now includes 9% affordable housing, after a report last year found that just 3% of its homes could be delivered as affordable.

British Land and AustralianSuper said they submitted a Section 73 application to revise the scheme in response to major regulatory changes and sector-wide cost and viability challenges.

This has led to an increase in the height and massing of the residential buildings, the introduction of alternative living uses, and changes to the delivery of affordable housing.

The revised masterplan commits to providing 20% affordable housing in the next phase of development, thanks to a grant from City Hall. This amounts to a minimum of 9% affordable housing overall across the masterplan.

The 53-acre development is being delivered in partnership with Southwark Council. It will have up to 4,184 new homes, including an affordable component, retail, leisure and cultural uses, alongside a 3.5-acre public park, a town square and 16 new streets.

As part of the first phase, work space has been provided at the Paper Yard, Dock Shed and Three Deal Porters, 186 new homes at The Founding and 79 affordable homes at 7 Roberts Close.

Gareth Roberts, head of Canada Water at British Land, said: “Approval of our revised masterplan is vital to accelerating momentum, creating a global destination as part of an amazing new neighbourhood that is uniquely Canada Water.

“The viability challenges we have faced are being felt across London, but with the first phase of development having recently completed, this decision will enable us to bring forward future homes, employment opportunities and investment in local infrastructure.”

Stéphane Jalbert, head of real assets for Europe at AustralianSuper, said: “We welcome the deputy mayor of London’s approval of the revised Canada Water masterplan. This decision provides clarity for the next phase of the project, unlocking future development opportunities for delivery across the site.”

Sir Sadiq Khan, the mayor of London, has confirmed a package of emergency measures to kick-start housebuilding in the capital, including temporary relief for developers from the Community Infrastructure Levy (CIL). Partial relief from CIL will now be offered for eligible housing schemes (excluding student housing and co-living) commencing before 31 March 2030, rather than 2028 as originally proposed.

In another key change, the late-stage review process – where London boroughs can claw back further tax receipts and public benefits from housing schemes if economic conditions change – has been axed, to be replaced by an early-stage review with no further reviews required beyond this.

Developers told Inside Housing Living they welcomed the government’s support, although some have warned they were “too temporary to truly move the needle”.

Social Housing REIT swings to profit under new manager

James Riding — Fri, 27 Mar 2026 14:00:00 GMT

Social Housing REIT (SOHO) has swung to profit under its new manager, Atrato Group.

The listed specialised supported housing investor reported a post-tax profit of £3m for the 2025 calendar year, up from a £36.3m loss in 2024.

Net rental income for the year rose 12% to £40m, driven by inflation-linked rent rises and improved rent collection of 91.5%, compared with 87.6% in 2024.

Operating costs fell 35% to £7.6m, reflecting a move from management fees based on net asset value (NAV) to fees based on market capitalisation, and changing advisors, including brokers and lawyers.

The improved performance also resulted from exceptional costs in 2024, such as termination fees paid to the former manager and a £53m loss from fair value adjustment on properties.

SOHO owns 492 homes that have been adapted or purpose-built for people with mental and/or physical care and support needs. It leases these properties to 28 approved providers, often housing associations, which receive payments from central or local government to provide homes for residents. Residents who live in the homes are selected by the local authority.

Atrato took over as investment manager of SOHO in January 2025. The new management has focused on addressing key legacy challenges including lease assignments to stronger counterparties and continuing the implementation of new risk-sharing structures with housing associations.

Adrian D’Enrico, fund manager of SOHO and managing director of Atrato Living, told Inside Housing Living he focused on “collecting the top-line income we should have been collecting”.

He said: “We inherited a couple of approved provider challenges from the former manager that we’ve been progressing. We’re starting now to see some recovery of the rents.”

These include leases SOHO had with Parasol, “who got themselves into a bit of difficulty a few years ago”, which were reassigned to Westmorland, now Portas. Over the next few months, those leases are reverting to typical long-term ones, he said.

SOHO also let 34 properties to My Space Housing Solutions, another provider which faced financial difficulties. From mid-2024 until early 2025, “no rent was being received” on these homes, Mr D’Enrico said.

My Space filed proposals for a company voluntary arrangement (CVA) in February 2025. Atrato negotiated an option agreement with My Space, enabling SOHO to transfer all My Space leases within a 12-month period following the completion of the CVA challenge period.

SOHO will retain most of the properties My Space is surrendering, but is selling a small number at auction once residents have been rehoused safely.

“There’s plenty of stuff still to do. We want to… be collecting 100% of our rent, and that’s the ambition as we go through 2026,” Mr D’Enrico said.

SOHO also signalled it was exploring mergers and acquisitions from private vehicles to scale the business. Moving from a £300m to £500m market capitalisation would mean a much bigger pool of potential investors.

“The market seems to have accepted that mergers are a way of achieving scale, and REIT investors do prefer scale and liquidity, and obviously therefore that is the ambition,” Mr D’Enrico said.

“If the right opportunity comes along, then certainly [a merger] is an avenue. There’s a number of private funds as well, who found themselves perhaps not achieving scale. So there’s a number of avenues there,” he continued.

“We trade at a discount to NAV, so we can’t raise cash in a traditional manner. So we are looking at how we can be creative. How can we help deliver more growth, how can we scale the portfolio? Because we’d like to contribute more of a solution to the problem.”

Portfolio occupancy, “even allowing for the two challenges” of Parasol and My Space, is 87%, Mr D’Enrico said. “These are pretty well-adapted, pretty specific homes. They will be homes for life for most of our residents, so we’ve got a really solid base once we’ve ironed out these couple of challenges.”

The supported housing sector has suffered reputational damage in the recent past due to the financial woes of firms such as Home REIT and Civitas Social Housing.

“We still think that there is opportunity for further narrowing of the discount [to NAV] by actually continuing to establish the narrative, and the differentiation with some of the missteps that happened in the sector,” said Mr D’Enrico.

“I still think [Home REIT] casts a bit of a shadow over what a number of parties are trying to achieve in specialised supported housing,” he added.

“The longer we can keep evidencing that SOHO has a really robust set of operating properties [and] great lessees, you will see further interest in the space and a narrowing of the discount.”

‘Years in the making’: L&G Affordable Homes reveals how it won top regulatory grades

James Riding — Fri, 27 Mar 2026 13:33:11 GMT

Shaun Holdcroft speaks to James Riding about how Legal & General (L&G) Affordable Homes won top marks from the Regulator of Social Housing for the consumer, financial viability and governance standards

Shaun Holdcroft, head of affordable housing at L&G, tells Inside Housing Living that 9,000-home L&G Affordable Homes’ (LGAH) first C1 grade had been “years in the making”.

He says the process started in 2019 when LGAH began building its own Salesforce-based technology platform called My Brolly, which allows the landlord “granularity of insight” on repairs and complaints.

This is especially important when you have an outsourced model, Mr Holdcroft says. LGAH contracts the management of its affordable homes to companies including Pinnacle Group and housing associations Great Places Housing Group and Flagship, all of which use the My Brolly platform.

My Brolly helps to connect residents with different parts of the business and these external management companies. For example, if a resident moves into a new property and reports an issue, the system will work out if this is a management issue or a defects issue for the developer to resolve and navigate to the correct supplier.

On the relationships with management companies, Mr Holdcroft says some of these partnerships are now “longstanding” at over five years old.

All of LGAH’s homes are floored and decorated to be “liveable from the day you move in”, even on relet and resale, he says. “That means we rely on management partners.”

‘An active manager and owner’

LGAH has also procured its management partners to provide an outreach service to its most vulnerable residents. Staff from the management companies signpost residents to services such as mental health support, bereavement support and childcare, and ensure take-up occurs.

“We never will be a silent partner,” Mr Holdcroft says. “We always wanted to be the name above the door – an active manager and owner.”

Management is “core and it’s crucial” to the business, he adds.

The organisation also directly employs a team of staff to deal with higher-order complaints and resident engagement. External management company staff would be the “first line”, handling stage-one complaints, although LGAH staff “review everything”.

Staff would then “step in” on stage-two complaints and “handle the case at that point”. They also “proactively manage” relations with the Housing Ombudsman, Mr Holdcroft says.

In its regulatory judgement, the Regulator of Social Housing said all seven of LGAH’s for-profit registered providers have “accurate, up-to-date and evidenced” understanding of the condition of its homes, an effective repairs service and the financial capacity “to deal with a wide range of adverse scenarios”.

The boards of all seven registered landlords hold joint board meetings and share the same board members. “From a governance and consumer perspective, we do everything we can to ensure there’s consistency of practice,” Mr Holdcroft says.

He says that the different registered providers have different investors, different capital stacks and different attitudes to risk, but adds: “There is no circumstance in which it is acceptable for a customer to have a different standard of service just because we’re moving homes between vehicles.”

The G1 governance rating shows that LGAH has put in place structures to safeguard its social homes, Mr Holdcroft says. “Any structure needs to have some sort of ringfencing arrangement around it” that ensures a parent, shareholder or investor is not able to make the registered provider or its board act in a way that places its social housing assets at risk.

Overarching agreements between the different entities are also “really important”, he says, “to ensure those businesses and their strategies are aligned with the regulatory standards”.

“We’re delighted with the validation of the model we’ve built, but the thing it allows us to do is go on and do a heck of a lot more”

On the C1 consumer rating, Mr Holdcroft says: “There is generally a feeling in the sector that the consumer standards works best for organisations that are more regionally concentrated.”

To achieve the C1, LGAH showed it “can demonstrate a real connection with its customer base”, he says. The boards of the registered providers have a “real insight of what’s going on” in customer service, he adds.

He also says that LGAH was able to demonstrate to the English regulator that is showed “thoughtfulness” in its core business processes. “Our affordable rents are [an average of] 68% of market rents”, showing that “we are careful about selecting schemes that are affordable” to residents, he says.

Mr Holdcroft adds: “We’re delighted with the validation of the model we’ve built, but the thing it allows us to do is go on and do a heck of a lot more.”

Earlier this week, L&G launched a new for-profit affordable housing partnership with London housing association Hyde Group.

Under the partnership, Hyde will transfer 1,000 of its existing homes to Halesworth and Lanecroft Homes, two for-profit registered providers jointly owned by Hyde and L&G.

The stock transfer is seen as the first tranche of a new long-term joint venture between the housing association and asset manager to build new homes and invest in existing homes requiring green retrofitting.

In December, Sparrow Shared Ownership, another for-profit housing provider, was awarded the highest grades by the Regulator of Social Housing.

Developers react to London housebuilding support as late-stage reviews axed

James Riding — Fri, 27 Mar 2026 12:02:15 GMT

Developers have welcomed the government’s finalised package of emergency support for housebuilding in London, although some have warned they are “too temporary to truly move the needle”.

Five months after the first announcement of time-limited measures to accelerate housebuilding in London, housing secretary Steve Reed and London mayor Sir Sadiq Khan have confirmed the final support package for the capital.

Partial relief from the Community Infrastructure Levy (CIL) will now be offered for eligible housing schemes (excluding student housing and co-living) commencing before 31 March 2030, rather than 2028 as originally proposed.

The government also confirmed the creation of a new planning route enabling developers to secure permission without a viability assessment on private land where they commit to at least 20% social and affordable housing.

Providers will be able to apply for Greater London Authority grant to support social and affordable homes above the first 10% of the total homes on the site. The route will now be open to applications submitted and validated by 31 March 2028.

Finally, elements of London Plan guidance that constrain density, such as dual aspect and cycle storage requirements, will be relaxed.

Marcus Bate, partnerships, planning, communities and sustainability director at Mount Anvil, told Inside Housing Living: “This is exactly what we’ve been asking for, so we can afford to build more homes faster. Hats off to Steve Reed and Sadiq Khan.”

Extending the CIL relief to schemes starting by the end of March 2030 gives the sector a “much more realistic chance of being able to capitalise on these measures to deliver the housing they intend to support”, he said.

Mr Bate noted that almost half of the developers and most local authorities who responded to the government’s consultation said they did not believe these emergency measures will have the desired effect of improving viability to support housebuilding.

“We’ve run the numbers on our schemes and see things differently; we believe they will have a significant impact on improving viability,” he continued.

“We are likely to start some schemes earlier than we would have otherwise. It should also mean that developers can keep to the affordable housing numbers approved at planning, especially with the easing of requirements around things like cycle parking, which add time and cost, often without ultimately being utilised by residents.”

Adam Cradick, a director at CBRE, said it is “good news” that some of the consultation timelines have been extended, including the removal of late-stage reviews.

Measures such as CIL relief and more flexible design standards are “also helpful”, he said.

“However, the 31 March 2028 deadline for registering planning applications will come around quickly, and a more open-ended provision would have delivered greater impact.”

Mr Cradick continued: “These measures feel too temporary to truly move the needle, especially when viability challenges require both demand and supply-side impetus.

“Indeed, any measures whether fiscal or otherwise to help the demand side still appear to be lacking from the government’s housing stimulus.”

Nick Cuff, managing director of development consultancy Urban Sketch, said: “It’s positive that the government has listened and simplified the emergency package of measures for London. The extinguishment of the mayoral flagship policy of late-stage reviews is welcomed and the elongation of timelines to submit is also a positive.

“However, no one including the UK state should be in any doubt that the brownfield emergency will continue because these measures do not go far enough, fast enough. There are thousands of homes in stuck consents and the government should reintroduce Section 106BA to protect supply and sector supply chains after the local elections have concluded.

“These measures are only temporary because a more radical set of simplifying measures must come after them. No one can be under any doubt that the old cross-subsidy model is dead and buried and what has happened is structural change, not cyclical.”

Dr David Crosthwaite, chief economist at the Building Cost Information Service, said: “Fast-tracking planning for eligible sites is an important step. The government is behind on its housebuilding targets and planning delays remain one of the biggest barriers to delivery. It’s encouraging to see action on a lever it can directly control.

“However, major constraints remain beyond its reach. Weak buyer demand, particularly in London, is a critical issue. With the for-sale market subdued, there is little incentive to accelerate building.”

The new emergency measures are “unlikely to shift demand in the short term”, he added.

“That will depend on wider economic recovery and improvements in the cost of living, both of which now face renewed uncertainty amid rising energy price risks linked to tensions in the Middle East.”

Get Living boss Rick de Blaby on ‘squeaky tight’ viability and Olympic Village legal action

James Riding — Tue, 31 Mar 2026 13:16:35 GMT

James Riding meets outgoing chief executive Rick de Blaby to find out if developer Get Living’s new project marks the end of an era for build-to-rent development

I wasn’t expecting my tour around Get Living’s latest development to feel like the end of an era.

The top team at the build-to-rent (BTR) landlord escorts me around The Elephant, soon to be a new landmark of south London with 485 homes, including 172 affordable, plus a gym, lounges and rooftop garden for residents.

It stands on the site of the 1960s Elephant and Castle shopping centre, which was demolished in 2021 after decades of uncertainty and debate – although the famous pink elephant was salvaged and given a new perch.

In a nod to the site’s history, the homes are built around a new retail square and upmarket cinema. Get Living hopes that millions of commuters and tourists will walk straight through the scheme every year as they cross from the Thameslink to Elephant and Castle underground station.

The Elephant also includes a new university campus for the London College of Communication (LCC), a college of the University of the Arts London. Its three new housing blocks positively dwarf the old LCC building next door, which Get Living will demolish and redevelop into student and build-to-rent housing once the university has moved to the new campus in 2028.

But would it be possible to embark on a BTR development of this scale in today’s economic climate?

“I don’t think we would be able to do anything like this anymore,” Dan Greenslade, chief financial officer at Get Living, says flatly.

Rick de Blaby, the landlord’s outgoing chief executive, is more reserved. “The viability of something like this would be squeaky tight. If you were starting from scratch, it’s really hard,” but if you’ve got scale, “development can, at the margins, add a bit of sizzle to your core return”, he says.

Inside Housing Living approached Mr de Blaby for an interview to look back on his nine years at Get Living ahead of his departure later this year. Recruitment for his successor is underway.

Our conversation ended up much broader than that, as he reflected on the crisis of confidence facing the BTR sector. Finally, he gave the most detailed picture yet of Get Living’s ongoing legal battle over fire safety costs at the former Olympic Village in east London, and his message to the residents who are still waiting for their homes to be fixed.

Mr de Blaby will step down from Get Living once his successor has been secured. He leaves the company as the UK’s third-largest BTR landlord by operational homes, after Grainger and Legal & General. Its 5,500 homes are spread across London, Salford, Birmingham, Maidenhead and Surrey, but Elephant and Castle is the jewel in the crown.

There are spectacular views of the Shard and the City of London, the London Eye and the Palace of Westminster from the roof terrace of the residential towers, with tiny Thameslink trains snaking past. Construction of The Elephant is almost complete, with residents set to move in this summer and retailers opening their doors in the autumn.

Get Living is midway through a planned trilogy of developments here. Phase one, Elephant Central, launched in 2017 with 374 BTR homes and 278 student beds, and is 95% occupied. We tour phase two, The Elephant, which is opening in 2026.

Phase three, The Elephant West, will be built on the site of the former LCC campus, with 452 student beds, 342 build-to-rent homes and 165 affordable homes. Southwark Council approved Get Living’s plans for phase three on 23 March.

State of build-to-rent

Despite all this growth, the health of the wider BTR sector looks precarious. In a shock announcement last month, retailer John Lewis abandoned its BTR development plans, citing a shift in economic conditions over the past five years. BTR construction starts slumped to 6,000 in 2025, down 77% compared with 2022.

Mr de Blaby has been a key participant in UK BTR from its infancy. Did he expect the sub-sector would be bigger now than it is?

“Probably, yeah,” he says.

The Covid pandemic caused delays. Higher UK government borrowing costs after September 2022 shrank investor appetite for development. Brexit was another influence, he says, because it drove workforce shortages and pushed up cost inflation.

“Against all of that, we know that people want more housing. We know that there’s a greater trend to rent their homes,” he says.

“I think we’re doing what we set out to do. I just wish we could be bigger and better, because the bigger we are, the more economy of scale we can feed through into that resident experience.”

Delancey, British developer Jamie Ritblat’s property company, is the convening force behind Get Living, but it has always been an international partnership. It was set up in 2013 by a Delancey client fund and Qatar’s sovereign wealth fund, which won a joint bid to buy the former 2012 Olympic athletes’ village in Stratford. This became East Village, Get Living’s first scheme.

Meanwhile, in south London, Delancey and Dutch asset manager APG bought into Elephant Central, which became 367 BTR homes (right next to The Elephant). Delancey then put the funds and investors together to form a multifamily private rented sector platform.

From 2017, when Mr de Blaby joined the business from United House Group, Get Living evolved from a lettings and management company into an asset manager and commercial landlord.

In 2018, Canadian pension fund Oxford Properties co-invested £600m in the business with Delancey, at which point Mr de Blaby says “we were a proper company with a balance sheet”.

Five years later, Qatari Diar’s 22% stake was bought out by Aware Super, an Australian pension fund. (APG still owns 39%, while the remaining 39% is shared by Oxford Properties, Delancey client funds, Alecta, Allianz and LPPI.)

This fleet of global backers means the boss has plenty to say about attracting international investment.

“If the build-to-rent sector wants to get to anything like the size it really should – it’s less than 2% of the housing stock at the moment, but it has the right to be, I would say, 15% of the stock – Savills quoted the fact you need something like £200bn of capital to do that,” he says.

“Well, we have about £3bn of it. Grainger have about £3bn of it. Quintain have a bit similar. I mean, you’ve got a long way to go.”

“If we want to do single-family housing, we’ll do it through a different platform”

Why has progress been so slow?

“I think the UK’s proposition to those global investors diminished a little bit,” Mr de Blaby says, due to the accretion of planning delays, the Building Safety Regulator, double-staircase rules, scarcity of construction resources and the Renters’ Rights Act.

“When they’re in aggregate… you get to a place where it’s quite hard to make the sums work. If you’re the CIO of any of those global pension funds… they themselves are under huge pressure to deliver returns for those pension fund custodians that they’re in charge of. And these guys can choose any sector, any geography, any platform.”

Even within BTR, Mr Greenslade notes, the money is moving away from high-rise multifamily schemes and towards houses in the suburbs, because “it’s seen as a bit easier”.

Octopus Capital buys 128 affordable homes from house builder

Zainab Hussain — Thu, 26 Mar 2026 15:43:21 GMT

Octopus Capital has bought 128 affordable homes across the South East of England from a house builder.

Octopus Capital has agreed a forward-funding deal with Bellway to build the homes across three new build developments in Kent and East Sussex.

The homes will be developed by Bellway Homes and transferred on a freehold basis to NewArch Homes, Octopus Capital’s for-profit registered provider.

In East Sussex, 21 homes will be built in Bexhill and 77 homes will be built in Hailsham. In Kent, 30 homes will be built in Sittingbourne.

The developments will range from one-bedroom flats to four-bedroom family houses.

Of the 128 homes, 89 homes will be for rent and 39 will be for shared ownership.

The homes will be energy efficient, with an Energy Performance Certificate B rating or above and most will be fitted with air-source heat pumps to lower energy costs for residents.

The investment was made through Octopus Capital’s Affordable Housing Fund, which channels long-term capital to accelerate the delivery of affordable homes across the UK.

The transaction represents one of the largest individual new build affordable housing deals completed by the fund to date.

It also marks the first direct transaction between Octopus Capital and Bellway.

As of 31 December 2025, Octopus Investments has had £9.2bn funds under management.

Ellie Vlavianou, investment director – affordable housing at Octopus Capital, said: “This deal marks an important milestone for our affordable housing strategy.

“Partnering directly with Bellway for the first time allows us to deploy capital at scale, regionally to support the delivery of high-quality affordable homes where they’re needed most.”

In January, Jack Burnham, head of affordable housing at Octopus Capital, told Inside Housing Living that the asset manager was confident of scaling up and building more homes with zero energy bills.

In November 2025, Octopus Capital announced that its Affordable Housing Fund was going to expand into Scotland, after it secured a £50m investment from the Scottish National Investment Bank.

Earlier that year, Octopus Capital had raised an additional £118m for the fund, taking its total funds under management to £360m, including co-investment capital.

Two in five renters forced into debt to live in London, poll finds

James Riding — Wed, 25 Mar 2026 15:00:00 GMT

Two in five renters are forced into debt just to live in the capital, a poll has found.

Research commissioned by housing charity Dolphin Living, shared exclusively with Inside Housing Living, revealed that debt has become “embedded in everyday life” for private renters in London.

Carried out by Opinium, the polling of 1,000 Londoners found that 39% have relied on debt to bridge the gap between wages and rent.

A fifth of renters in the capital use an overdraft, while 16% use a credit card or loan, and 23% borrow from family and friends. Among key workers, reliance on family support rises to 29%.

Forty-one per cent of renters aged 18 and 34 have relied on debt to meet their housing costs, comparative to the rest of the population, but 29% have been forced to draw on savings or investments.

Unaffordable rent does not guarantee a good location, with 38% of respondents commuting for over an hour to reach their jobs. More than half (52%) of renters aged 18 and 34 cited proximity to their workplace as a top priority after affordability, compared with 19% who prioritise living near friends and family.

The average London renter now spends 41% of their monthly take-home pay on rent. For 32%, half or more of their income disappears into housing costs before other essentials are covered.

Rent hikes are becoming increasingly unaffordable, with three-quarters of renters having previously had to make changes to other expenditures to afford a past rent increase and more than half of renters unable to afford a future above-inflation rent increase.

Close to half (47%) of renters think it is unlikely they will ever afford their own home in the capital, with 40% less confident than six months ago.

To afford rent, 46% of house-sharers – often younger workers and key service providers – have cut non-essential spending. Families are also under strain, with 35% of renters with children under 18 taking on extra work.

Renters have been forced to adjust their expectations downward due to cost of living pressures, with what they consider a ‘comfortable’ rent limit decreasing from 41% of income in 2022 to 38% today.

Private renters showed increasing awareness of affordable housing tenures in London. Thirty-eight per cent had heard of intermediate rent, up from 25% in 2022, and 63% are interested in accessing it, up from 41% in 2022. A total of 64% were interested in accessing social rented housing, up from 50% in 2022.

Olivia Harris, chief executive of Dolphin Living, said: “Without decisive intervention to address rental affordability and availability through the delivery of more intermediate rental housing, London risks becoming increasingly inhospitable, with its social fabric, economy and future prosperity in jeopardy as a result.

“The findings of this research make clear that the current trajectory is unsustainable, with housing affordability becoming a major barrier for the city’s workers. For many, this decision is based on necessity rather than a lifestyle choice due to the very nature of the work they do.

“This is why we not only need to reverse the decline in housebuilding in London, but also build homes to support this critical cohort of London’s renters. Central to this is the delivery of more intermediate rental homes, which 63% of those polled have said they would be interested in.

“In addition to addressing this socio-economic crisis, the provision of intermediate housing will also improve development viability and deliver more homes overall.”

London mayor Sir Sadiq Khan has introduced a new rent-controlled housing product called Key Worker Living Rent, aimed at key workers who are unlikely to secure social rented homes but struggle to afford market rent.

The mayor has urged housing associations and councils to work with City Hall and bid for funding for Key Worker Living Rent homes through the London Social and Affordable Homes Programme.

City Hall aims to start at least 6,000 key worker homes by 2030.

Essential Living puts 14-storey build-to-rent scheme on sale

James Riding — Wed, 25 Mar 2026 09:35:58 GMT

Essential Living has put a 14-storey build-to-rent (BTR) scheme up for sale.

The BTR landlord has appointed agents to market Berkshire House, a 14-storey converted office tower in Maidenhead.

Berkshire House was completed in 2018 as one of Essential Living’s first schemes. It comprises 68 homes, including studios, one bedroom and two-bedroom flats.

It was among the first office-to-residential conversions in the UK developed specifically for the private rented sector.

The scheme includes roof terraces, dining spaces and co-working areas. Essential Living has owned the asset since 2013.

Essential Living said it decided to sell the scheme following a strategic review with investors. Proceeds of the sale will be recycled into its portfolio investment strategy, which focuses on mixed-use schemes across London. The landlord is disposing of individual assets on a case-by-case basis accounting for market dynamics.

Essential Living was established in 2012 by Evergreen Investment Advisors, a global investment manager that also owns student housing landlord Urbanest London and US multifamily landlord Raintree.

Essential Living currently has a pipeline of 2,000 multifamily homes, mainly in Transport for London Zones 1 and 2. It is also acquiring mixed-use, private rented sector-led assets across London under its HomeQuarters brand. HomeQuarters has a current gross asset value of £250m, with ambitions to scale in the coming years.

Jeremy Baker, chief executive of Essential Living, said: “Berkshire House has been an important part of our portfolio since 2013, and its performance over that period is a testament to the enduring strength of well-located, purpose-built build-to-rent.

“This sale reflects our disciplined approach to capital allocation – reinvesting proceeds into income-producing, mixed-use schemes in London’s most supply-constrained submarkets, where we see the strongest long-term fundamentals.

“Our focus remains on building a portfolio that delivers for both residents and investors.”

L&G and Hyde launch for-profit partnership with 1,000-home stock transfer

James Riding — Wed, 25 Mar 2026 14:25:59 GMT

Asset manager L&G and London housing association Hyde Group have launched a new for-profit affordable housing partnership with a 1,000-home stock transfer.

Under the new partnership, Hyde will transfer 1,000 of its existing homes to Halesworth and Lanecroft Homes, two for-profit registered providers jointly owned by Hyde and L&G.

The homes are all recently built and currently occupied, Inside Housing Living understands. They include social rent and shared ownership tenures.

Hyde consulted its residents on the transfer of ownership and there will be no changes to customers’ tenancies or leases from the transaction. The homes will continue to be managed by Hyde, incorporating its Pinnacle Group management business, on behalf of the partnership.

The 1,000-home stock transfer is seen as the first tranche of a new, long-term joint venture between the housing association and asset manager to build new homes and invest in existing homes requiring green retrofitting.

Under the new joint venture, titled Halesworth Lanecroft Partners Holdco, L&G will receive income from the homes for its pension savers while Hyde, which owns or manages 125,000 homes, will recycle the profits of the sale into building new homes and investing in its existing homes.

The partnership will be jointly equity financed by Hyde and L&G and will be supported through L&G’s annuity portfolio. New homes will be delivered to high energy performance standards, in line with Hyde’s approach to build new homes to a minimum rating of Energy Performance Certificate Band B by 2027 and A by 2030.

Through the partnership, housing management services will be provided by the Hyde Group, including its Pinnacle Group platform. Hyde acquired Pinnacle in 2024. It develops, manages and services affordable homes across the UK, including on behalf of for-profit providers such as L&G.

L&G Affordable Homes, which already has a portfolio of 9,000 affordable homes, will act as strategic asset manager to the partnership, with assistance from Pinnacle Investments, an asset manager which joined Hyde Group in 2025.

The partnership will have the ability to invest in homes requiring green retrofitting, the organisations said.

L&G aims to deliver 10,000 new social and affordable homes by 2030, while Hyde is due to complete over 5,500 homes in the next five years.

Andy Hulme, chief executive of Hyde Group, said: “There’s a gulf between the funding available and the funding needed to deliver the affordable homes the country needs. Grant alone will not close it.

“The only way we can close this gap is by bringing pension and other responsible capital into the mix – and that is exactly what this innovative partnership delivers.

“Hyde offers institutional investors a complete end-to-end service, from investment structuring through to managing homes and the community around them, with every penny of commercial profit reinvested in building more affordable homes and improving existing homes.

“With L&G’s long-term capital and our national platform, we can deliver more homes, faster.”

In 2024, L&G hired Catherine Raynsford from Hyde to lead on acquiring occupied homes from housing associations.

Ms Raynsford said: “Since establishing our affordable housing business in 2018, L&G has built a strong track record as a trusted leader in delivering high-quality, affordable homes across the UK.

“This new partnership with Hyde marks an exciting milestone, combining our heritage and expertise with an innovative approach that aims to attract institutional investment and accelerate the delivery of much-needed affordable housing nationwide.”

Gareth Mee, chief executive of institutional retirement at L&G, said: “The UK needs nearly a million affordable homes, and L&G is committed to driving the investment and action needed to meet this challenge.

“As a long-term investor in the UK economy, we have a track-record of deploying pensions capital into resilient, productive assets across the country, as reflected by our £2bn regional growth commitment.

“This innovative partnership will accelerate the delivery of new affordable homes nationwide, delivering strong, predictable returns to match our pension commitments with long-term investment that makes a tangible impact on local communities.”

Hyde Group was advised by law firm Gowling WLG on the partnership with L&G.

In an interview with Inside Housing last year, Ms Raynsford discussed the “inherently sensible” logic of bringing long-term pension capital into affordable housing and how it could usher in “the next wave of stock transfers”.

‘Golden brick’ reforms will specifically help for-profit providers, MP says

James Riding — Thu, 16 Apr 2026 11:41:19 GMT

Reforms to ‘golden brick’ tax relief for social housing developers will specifically help for-profit registered providers, an MP campaigning for the changes has said.

Mike Reader, Labour MP for Northampton South, explained the benefits of reforming the VAT relief as the government is set to launch a consultation on the changes by the end of this month.

Speaking to Inside Housing Living in Portcullis House opposite the Palace of Westminster, Mr Reader explained that for-profit providers “have a different taxation regime” to non-profit housing associations, and that bringing forward VAT relief “will specifically help them”.

Under the current ‘golden brick’ rule, developers can claim back VAT on social housing construction costs once they have started building one layer of bricks on site. In addition, investors in projects that have reached ‘golden brick’ pay no VAT on the purchase price.

Mr Reader is campaigning for this VAT relief to be given earlier in the development process, which he said will “get capital moving through the system quicker” and speed up social housebuilding.

If a council has already sold a specific plot of land for social housing, “why can’t you realise the VAT relief earlier?”, he asked.

The MP said the sector needs both non-profits and for-profit providers to deliver new homes as quickly as possible. He added that speeding up VAT relief would also help registered providers who are taking on homes built by a house builder under a Section 106 agreement.

Housing associations often delay their land purchase until construction reaches ‘golden brick’ to ensure the sale is VAT-free. As well as delaying cashflow for the house builder, this has implications for housing associations because many grants and loans cannot be drawn down until the association owns the land.

House builders, registered providers and Octopus Energy have all backed Mr Reader’s campaign to reform the ‘golden brick’ policy, which the MP said comes at “zero cost” to the Treasury.

Alongside the Autumn Statement, the Treasury confirmed it would consult on reforms to the policy. It is launching a consultation this month, Mr Reader said.

“[The] Treasury is supportive but they want to make sure there is the broadest support from the industry,” including smaller developers, he said.

Officials will also call for evidence that moving the mechanism will genuinely speed up housebuilding, especially for SME builders. The Treasury also wants to explore where in the development process the VAT relief could be brought forward to.

This could be at the point when land is sold, or in the planning process. “Land sale seems too easy,” Mr Reader said. “I think you can do it at planning gain,” he added, although the Treasury is concerned about changes of use when a site is switched to a different tenure.

“The chances of fraud are extremely low”, Mr Reader said, and councils could notify government if a change of use takes place. The speed and cashflow benefits would outweigh any “bad eggs”, he added.

“What’s really important is we get cash moving through the system to build social and affordable homes quicker,” the MP said.

In fact, changing the policy might give developers less room to “argue down” the proportion of affordable homes on their schemes on viability grounds, thereby ensuring more social homes are built.

Mr Reader admitted that there is “not much, if any benefit” in reforming the policy for local authorities, which have a different tax regime. But developers and for-profit registered providers will get a significant proportion of land value back earlier to reinvest, he added.

Last month, the director of Homes England said that changes to grant funding rules will give for-profit registered providers another “welcome boost”.

The government has also announced time-limited plans to convert unsold Section 106 homes into private sale or rent when developers have not been able to find a registered provider to buy the affordable homes.

L&G buys 200 affordable homes at Arada’s Southwark regeneration scheme

James Riding — Thu, 19 Mar 2026 10:40:00 GMT

Legal & General (L&G) has bought 200 affordable homes at a south London regeneration scheme being built by Dubai-headquartered developer Arada.

L&G has bought the affordable housing element of the Devonshire Place scheme in Southwark in a £46m forward-funding deal.

All 200 of the affordable homes will be let at social rent and owned by L&G’s for-profit registered provider.

Under Arada’s mixed-use plans, which were approved by Southwark Council in 2024, the former petrol station and derelict industrial site will be redeveloped into a 941-bed purpose-built student accommodation (PBSA) scheme, as well as 200 on-site affordable homes and commercial space.

Arada, which is developing the site with consultancy Shaw Corporation, said the scheme will create a “more vibrant high street” along Old Kent Road, with a grocery store, a cafe and other student amenities. It also features a community hub that will provide free, bookable space for residents.

Arada said the deal is “another deployment of institutional capital into London’s constrained affordable housing market”.

Funding is in place and planning permission is secured, meaning construction at Devonshire Place can begin.

Pete Cross, chief operating officer at L&G Affordable Homes, said: “Our aim has always been to deliver great quality, environmentally sustainable and affordable homes that people can build a great future from.

“Devonshire Place is an excellent example of how we are able to work with forward-thinking partners and deploy institutional capital to deliver truly affordable homes where they are needed most.”

Jonathan Seal, chief executive of Arada London, said: “Progression from consent to site has become the critical test for London schemes. Bringing L&G into Devonshire Place secures the funding and long-term ownership structure needed to move forward.

“This is about execution, not aspiration. Devonshire Place brings together student living, affordable housing and everyday civic infrastructure in a way that reflects London – dense, mixed and economically active.”

Helen Dennis, cabinet member for new homes and sustainable development at Southwark Council, said: “Devonshire Place is a great example of how we generate community benefit from development.

“Thanks to Southwark’s Council’s strong planning policies, this scheme will deliver 200 social rented homes for local residents on our housing waiting list, as well as a community hub and extensive greening.

“Schemes like this are crucial for delivering the new homes and jobs that we need to see along the Old Kent Road, ambitions that can be fully realised once there is agreement on the Bakerloo Line extension.”

Arada entered the London development market in 2025 after it acquired developer Regal. It currently has a pipeline of 16,000 homes in the capital, focused on market sale, PBSA and co-living.

Last month, L&G bought the Lambeth Hospital site in south London to deliver 700 build-to-rent homes in a joint venture with PGGM and Nest.

Recently, Inside Housing Living interviewed Dan Batterton, head of housing at L&G, about his plans to scale the group’s housing portfolio to £10bn in assets under management by 2030.

Grey belt golden rules should leave space for build-to-rent

Justine Edmonds — Thu, 19 Mar 2026 10:00:00 GMT

Allowing a portion of build-to-rent (BTR) on green belt developments would ease viability pressures and ensure more affordable housing gets built, writes Justine Edmonds, head of BTR and leasing strategies at planning consultancy LRG

The National Planning Policy Framework (NPPF), revised just over a year ago, allows for development on the ‘grey belt’ on condition that a set of ‘golden rules’ applies, which includes a requirement for up to 50% affordable housing on any land that is, or was, green belt. Essentially, this produces a de facto 50/50 private and affordable housing split.

The ambition is totally understandable given the need for more affordable housing, but the arithmetic poses a problem. A 50% affordable requirement, particularly where 70% social rent is expected, is simply not viable in much of the country once infrastructure, remediation, biodiversity net gain and high design standards are factored in.

While some high-value areas may, and should, achieve this, many others will not. Consequently landowners will hold back, developers will retrench and the policy intended to accelerate delivery will risk slowing it instead.

We can see this effect in London, where a requirement for affordable housing, even at just 35%, combined with rising costs has contributed to a collapse in private housing starts and therefore negligible delivery of affordable housing units.

In response, the government and mayor have consulted on a temporary reduction in affordable housing to 20%, alongside temporary Community Infrastructure Levy relief and more interventionist mayoral oversight. London has, in effect, acknowledged that high targets have exceeded what the market can sustain and that only by rowing back on affordable housing targets will it be possible to deliver the housing units needed.

If London, with its high values and high demand, cannot deliver consistently under aggressive affordable expectations, it is probably unrealistic to assume that a blanket 50% requirement can be met across all the country’s geographies.

It is clear that beyond a certain threshold, increasing the proportion of affordable housing does not increase the number of affordable homes, but reduces the total number of homes built.

A different approach is needed, one that still delivers substantial affordable housing while bringing in new sources of capital and smoothing delivery. A strong case can be made for a 33/33/33 model: a third open market housing, a third affordable and a third BTR – which can itself include a proportion of units at a discounted market rent. This retains a serious commitment to affordable housing while widening the tenure base and drawing in institutional investment at scale.

The inclusion of BTR changes the fundamentals of delivery. Unlike market sale, BTR is not constrained by absorption rates. Forward-funding agreements allow early infrastructure (including community infrastructure) to be financed, contractors to be kept on site and phases to progress regardless of short-term market softening.

BTR units can be completed and occupied quickly, supporting local centres and public services from the outset. On complex sites where early cashflow is critical, this can determine whether a scheme proceeds at all.

Investors have long recognised the strength of BTR. According to British Property Federation analysis, there are now more than 130,000 completed BTR homes in the UK and close to 300,000 in the pipeline. Stock grew by around 14% last year. Institutional funders underwrite close to half of the pipeline and many regard BTR as their preferred asset classes.

In the first nine months of 2025 alone, over £3bn was invested, with almost £1bn committed to single-family housing in the first half of the year. High rental demand, shifting household profiles and inflation-linked income make BTR an attractive proposition, particularly when compared with more volatile commercial sectors.

“Large sites that combine market sale, affordable housing and BTR from the outset attract a broad range of residents, sustain early community infrastructure and reduce the risk of stalled or half-occupied first phases”

For those concerned about the sector’s apparent inability to meet housing targets (whether from an open market or social housing perspective), this growth in institutional appetite is more than welcome.

Recent economic and political uncertainty has made sales-led delivery harder to forecast. BTR offers the chance to de-risk large schemes by securing a significant portion of value early and reducing exposure to sales cycles. The ability to flex the balance between market sale, affordable housing and BTR between phases provides an additional safeguard at times of volatility.

A mixed-tenure approach also offers clear placemaking advantages. Large sites that combine market sale, affordable housing and BTR from the outset attract a broad range of residents, sustain early community infrastructure and reduce the risk of stalled or half-occupied first phases.

For areas where scepticism about development is often rooted in concerns about slow delivery and delayed facilities, this matters as much as the financial case.

The 50/50 grey belt model is built on good intentions, but London’s experience shows that when viability is stretched too far, the result is not more affordable homes but fewer homes overall. A 33/33/33 model, with BTR playing its full part, offers a more credible route to the same ambition: significant affordable housing, faster delivery, stronger places and a more reliable pipeline of new homes to address the housing crisis.

Justine Edmonds, head of BTR and leasing strategies, LRG

A national framework for private capital could solve the temporary accommodation crisis

Omar Al-Hasso — Thu, 19 Mar 2026 07:00:00 GMT

Omar Al-Hasso, chief executive of specialist housing and technology provider SimplyPhi, says a grant-funded programme for street market acquisition of homes could ease the demand for temporary housing

Our sector has been crying out for new capital to come into the market. While the government has made significant moves to unlock funding and ultimately help housing associations and local authorities to deliver more supply, demand for good temporary and affordable homes is already greater than the government coffers can provide.

In truth, the only alternative with pockets deep enough to help is the private sector.

Registered providers and local authorities have already been pragmatic in embracing institutional investment to acquire and build homes. But this approach has been patchwork at best.

A well-structured funding programme, which incorporates private capital and security from government to get more cash into the system, is the only way to build homes at an affordable rate.

There are many challenges to housebuilding at volume, regardless of the sector or tenure. This is without the question of where the funds to build can be sourced. It is reasonable that private institutions and the public sector should be natural allies, but this relationship is yet to click into place on a national framework.

Instead, what we currently see is a potpourri of different people and organisations trying to figure out ways of working together – whether it’s for-profit partnerships, or not-for-profits trying to bring in grants.

The dilemma is this: housing acquisition and development is an expensive exercise. So, how do you bring in low-cost institutional capital, without falling below the minimum threshold for true risk-adjusted financial returns?

Clearly there needs to be an industry-wide, standardised product. While local authorities will undoubtedly have their own thoughts on what good housing delivery looks like in practice, the public sector and government need to be a part of that process. This might be through grant, guarantees or other structures.

Indeed, the new Social and Affordable Homes Programme (SAHP) has a significant focus on new build, particularly new social rent homes. This is absolutely needed, but it is a mid- to long-term housing strategy that does not address short-term demand.

Similarly, recent announcements on £2.5bn low-cost debt for social housing delivery are welcome, but new build social rent is especially demanding on cost per unit.

Street market acquisition of homes, supported with grant funding, is one such solution. It’s faster than building new, cheaper and relatively straightforward to source with the right help.

The issue arises in the grey area around how much government cash can be allocated to this kind of housing delivery. While local authorities expend time and resources trying to figure out the rules of engagement, private capital could eliminate confusion and delays and help councils meet their legal duty to house people.

There are several reputable institutions who are ready to invest. Social and affordable housing delivery is a noble and valuable ambition, even if it does not generate the same profits as other ventures.

Even more crucially, institutional investors are prepared to be flexible, though their biggest challenge is to design products that do not need to be index-linked, while providing sufficient cover to liability-match their underlying investment funds.

In a nutshell, our sector needs to find a way to pull these pieces together, with the support of private capital and policymakers, to create a standardised, privately funded product that allows for more homes to be created.

In the spirit of the art of the possible, this work is already being undertaken by several organisations who are investing time and resources in this on a much smaller scale. And as a sector, we are getting closer to a successful funding model.

But until there is a single, endorsed product, or a single source of advice for the sector, there will continue to be fragmentation and uncertainty, which will ultimately slow housing delivery below the rate that the country needs.

Maybe the soon-to-be-launched National Housing Bank holds the answer.

Omar Al-Hasso, chief executive, SimplyPhi

Later living developer Audley Group raises £130m from investors

Zainab Hussain — Wed, 18 Mar 2026 15:00:00 GMT

Retirement housing provider Audley Group has raised over £130m from two institutional investors.

Audley Group said it had completed funding arrangements from Pension Insurance Corporation (PIC) and King Street Capital Management.

An initial investment, committed by PIC, was secured against the operating income generated by nine Audley retirement villages.

Audley said the investment matches PIC’s purpose to pay the pensions of its current and future policyholders over decades.

As additional villages in Audley Group’s pipeline are completed, there will be capacity for further investment.

King Street Capital Management is providing a second tranche of capital as part of its European real estate strategy.

The capital is intended to support the acquisition of long-term income-producing properties within the existing Audley Group portfolio as they are completed.

Both brands recognise the significant potential in the UK retirement living sector, driven by demographic trends and sustained demand for enhanced lifestyle and care options for an ageing population.

Nick Sanderson, chief executive and founder of Audley Group, said: “The interest from such significant institutional investors has confirmed both the potential in the retirement village market, and the position of Audley and Elysian as the leading players in the sector.

“For a long time, investment interest was focused on retirement village development given the ageing population and lack of housing provision. This transaction highlights the demand for long-term, high-quality income.”

Paul Brennan, partner and co-head of real estate at King Street Capital Management, said: “The retirement living sector benefits from powerful demographic tailwinds and structural undersupply, and we believe this platform is well positioned to deliver sustainable, long-term income at scale.”

Audley Group was established in 1991 and has 21 locations under the Audley Villages brand. It acquires sites, and develops then operates retirement villages.

In July, Audley Group merged with its rival Elysian Residences to form the UK’s largest retirement village provider.

Elysian Residences, founded in 2014, provides luxury homes for over-65s. Its portfolio includes 11 retirement villages, comprising five operational and six in the planning and development pipeline across London and the South East, representing a total sales value of over £1.3bn.

Together, Audley Group and Elysian Residences have a combined gross sales value of more than £3bn and over 25 villages operating under the Audley, Elysian and Mayfield brands.

Exclusive: Four Heylo Housing Group subsidiaries enter administration

James Riding — Tue, 24 Mar 2026 14:15:37 GMT

Four subsidiaries of BlackRock-backed shared ownership specialist Heylo Housing Group have entered administration, Inside Housing Living can reveal.

PwC has been appointed as administrator for HH1 and HH5, two investment vehicles in the Heylo Group, which together own around a third of Heylo’s 10,500 homes.

Two other subsidiaries, HH1 New Holdings and HH1 Holdings, have also entered administration, although they do not hold any assets.

Meanwhile, three directors have stepped down from the board of Heylo’s for-profit registered provider.

A Heylo Housing spokesperson said: “We can confirm that on 12 March 2026, HH No.1 New Holdings Limited, HH No.1 Holdings Limited, HH No.1 Limited and HH No.5 Limited investment pods entered into administration, with [PwC] being appointed as administrators.

“Other entities within Heylo Housing Group remain unaffected. The team at Heylo Housing is working closely with the administrators, and our customers remain our top priority to ensure a smooth and orderly transition.

“As this is an ongoing matter, we are unable to comment further at this stage.”

Inside Housing Living understands the administrations came after a restructuring dispute between Heylo’s investors.

Heylo’s registered provider, HHRP, leases homes from property investment companies within the Heylo Group, which are each backed by different investors, including BlackRock and other large insurance and pension companies. HHRP then onward-leases the homes to customers on a shared ownership basis.

In 2022, Heylo was handed non-compliant G3/V3 grades by the Regulator of Social Housing, which said this business model posed a “significant risk” to the for-profit’s ability to protect its social housing assets, and “ensure its long-term viability”.

To regain compliance with the Regulator of Social Housing (RSH), Heylo had committed to transfer its asset-owning subsidiaries directly under HHRP, its main registered provider, with the purpose of giving HHRP direct control.

The investors of HH1 and HH5 did not agree to the restructure, so administrators were appointed for the two investment vehicles. The investors in HH1 and HH5 have not been named.

Inside Housing Living understands that Heylo Group’s other investment companies, HH2, HH3, HHSB and HH7, are not affected by the administration. HHRP remains non-compliant with the RSH but is not in default or administration.

ResiManagement, a sister company of Heylo Group which manages the homes within Heylo’s investment companies, is also unaffected.

ResiManagement will continue to manage the shared ownership homes during the administration until PwC sells the homes to new investors. It is expected that the homes owned by HH1 and HH5 will be sold to another registered provider, keeping them in the social housing sector, once the administration process is complete.

Shared owners’ homes, leases and rights remain unchanged. The only change for people in HH1 and HH5 homes is the control of the company owning the property alongside the shared owner, which is now PwC.

In a separate event, three directors of HHRP, Andrew Geczy, Tim Willcocks and Tom Nicholson, have stepped down from the board. New board directors are being sought as soon as possible.

Although they have stepped down from the HHRP board, Mr Geczy and Mr Willcocks will remain in their roles as chief executive and chief customer officer of Heylo respectively.

For-profit provider Funding Affordable Homes appoints managing director

Zainab Hussain — Tue, 17 Mar 2026 16:00:00 GMT

For-profit registered provider Funding Affordable Homes Housing Association (FAHHA) has appointed Kush Rawal as managing director.

Mr Rawal became the managing director of FAHHA earlier this week.

His previous roles include chair of the Molly Huggins Foundation between August 2024 and December 2025. The charity was set up by housing association Metropolitan Thames Valley Housing (MTVH) in 2024 to tackle the cost of living crisis for its residents.

Mr Rawal also held roles at MTVH since 2012, including executive director of customer services, director of residential investment, commercial director, and sales and marketing director.

He has been a part-time board member at Raven Housing Trust since 2020.

According to Mr Rawal’s LinkedIn profile, he is responsible for leading FAHHA’s growth and governance, as well as the delivery of high-quality affordable housing across the UK.

He will work with investors, local authorities and sector partners to increase housing supply while maintaining strong regulatory compliance and customer outcomes.

FAHHA builds and acquires affordable housing to deliver financial and social returns for communities and investors. The for-profit uses its capital to provide additional homes and a balanced return to its shareholders.

It has a diverse portfolio of freehold residential properties across the UK and looks at opportunities across the tenure mix in affordable housing.

In 2018, Luxembourg-based affordable housing fund Funding Affordable Homes was acquired by Switzerland-headquartered bank Edmond de Rothschild.

In October last year, Inside Housing Living reported that the fund owns around 800 homes, 60% of which sit within FAHHA.

The for-profit only owns homes that were built using grant funding from the UK government. The affordable homes break down into about two-thirds of rented tenures, including social rent and affordable rent, a quarter extra-care and 6% shared ownership.

Most of the homes are mid-rise flats with some bungalows. Majority of schemes are concentrated in London, including two on the Isle of Dogs in the east of the city, and the South East of England.

New managing director Mr Rawal said: “FAHHA was set up to bring together long term investment and strong governance to help deliver much-needed affordable homes across the UK.

“I’m looking forward to working with the board and colleagues across EDR [Edmond de Rothschild] to continue building on that work.”

Last month, Shahi Islam, director of affordable housing at Homes England, said changes to grant funding rules will give for-profit registered providers a “welcome boost”.

Mr Islam said the agency tweaked the new 10-year Social and Affordable Homes Programme to help for-profit providers with cashflow and “account for lessons learned from previous programmes”.

In other appointment news, Thriving Investments, the investment manager owned by housing association Places for People, hired a manager for its Scotland and Manchester housing funds. It appointed Ed Crockett last month for its £260m New Avenue Living fund, which focuses on mid-market rent homes in Scotland for key workers.

Greystar buys housing management company Native Communities

James Riding — Tue, 17 Mar 2026 14:42:20 GMT

Build-to-rent (BTR) landlord Greystar has acquired Native Communities, a living sector and mixed-use management company.

The US rental housing giant acquired Native from its owners Ares Real Estate, founder Guy Nixon and management shareholders.

Greystar said the acquisition, which took place for an undisclosed sum, would grow its third-party property management business in Europe.

Native was launched in 1998 by Mr Nixon as a serviced apartment company aimed at business travellers. Ares acquired a stake in the business in 2016 to fund the expansion of its BTR and apart-hotel platforms.

Native now operates a UK portfolio of 37 residential and mixed-use assets, representing more than 9,000 homes across England, Scotland and Wales.

The business includes 177 on-site team members and a 47-person corporate team.

Following completion, Native’s operations will be merged with Greystar’s third-party property management business, with teams based in Manchester and London.

It will complement Greystar’s existing UK operating business, which manages around 44,000 purpose-built student accommodation beds and BTR homes.

Inside Housing Living has asked Greystar how much it paid for the acquisition.

In a release, Greystar said investors and asset owners are seeking operating partners with “scale, governance and consistency” across markets.

Last week, Greystar announced it had also acquired MD Property & Living, a Dublin-based property manager.

Greystar has a platform of one million homes in the US, as well as 70,000 homes in Europe across eight countries.

Its European business includes more than 7,000 homes already managed on behalf of third-party investors and asset owners, with a “clear ambition” to expand this business.

The third-party property management business and Greystar’s owned investment portfolio will operate as separate business lines, the landlord added.

Mark Allnutt, executive director – Europe at Greystar, said the acquisition “strengthens our operating depth and enhances our ability to support clients as their portfolios grow across markets and sectors”.

Bobby Faith, managing director – third-party property management, Europe at Greystar, said: “Together, we are combining deep operating expertise with the systems and resources of a global organisation to deliver bespoke solutions and consistent outcomes for clients, whether managing a single asset or a multi-market portfolio.”

Mr Nixon, chief executive of Native Communities, said: “Native’s success over the past 20 years has been built on a strong focus on execution, service quality and long-term client relationships.

“Joining Greystar combines those strengths with a global rental housing platform with the scale, experience and infrastructure to strengthen the support we offer to our clients across the UK and Europe.”

John Ruane, partner and co-head of European real estate at Ares, said: “For the last 10 years, we have supported Guy and his team with the expansion of Native’s portfolio from five assets to 37 today, representing the addition of 9,000 high-quality homes.

“We are proud to have been a part of Native’s growth journey, providing our insights and resources to help the business fulfil its potential, and wish the team well in this exciting new chapter.”

Last week, Inside Housing Living interviewed two of Greystar’s UK directors at the MIPIM property conference about their plan to bring a low to mid-rise BTR product to the UK.

Thomasin Renshaw, managing director of UK development at Greystar, also warned that construction costs are about to rise again and called for the government to delay the Building Safety Levy to spur housebuilding.

Build-to-rent landlord given green light for tallest building in Wales

Zainab Hussain — Tue, 17 Mar 2026 10:51:10 GMT

Developer and landlord BlueCastle Capital has secured planning consent to build a 50-storey build-to-rent (BTR) tower in the centre of Cardiff.

BlueCastle Capital received the green light for the development from Cardiff Council on 16 March. The approval builds on a previously consented 35-storey scheme.

The 50-storey tower will become Wales’ tallest building, providing 528 homes for rent. It will also include a standalone two-storey pavilion providing commercial and restaurant space.

Amenities include a gym, co-working space, wellness area, roof terrace, bike hub, café and landscaped public spaces.

The building, designed by 5plus and Layer Studio, will target an Energy Performance Certificate Band B and an Excellent rating under the Building Research Establishment Environmental Assessment Method.

The development will occupy the final undeveloped plot within the Cardiff Central Square masterplan, located between the Principality Stadium and Cardiff Central Station and bordered by Wood Street, Scott Road and Park Street Lane.

To date, BlueCastle has invested around £70m in acquiring and progressing five BTR development sites, which collectively will provide around 2,500 homes across Cardiff, Leeds, Birmingham, Stevenage and Sheffield.

BlueCastle was established in 2015 and specialises in BTR development, investment and asset management in the UK.

Currently, it has a development pipeline of around 2,500 BTR homes in locations with strong occupier demand.

Barry Coltrini, development director at BlueCastle, said: “This is a milestone for our Cardiff project and for the transformation of Central Square.”

Last week, Inside Housing Living reported that Cardiff was working on developing its first council-led BTR scheme in the city centre.

There will be an equal split between the number of BTR and social rent homes in the development initially, and there is potential in the future for more social rented homes than BTR.

The council is exploring whether it can fund the project itself or enter a partnership with a private developer, with the first option being its preferred one. Cardiff Council will make a decision by the end of this year.

KKR and Puma to lend £500m across UK living sector

Zainab Hussain — Tue, 17 Mar 2026 10:05:17 GMT

Private equity firm KKR and lender Puma Property Finance have formed a joint venture to lend up to £500m to the UK living sector.

The joint venture, between Puma and private credit funds, clients and accounts managed or advised by KKR, will provide up to £500m in senior development and stabilisation loans to fund build-to-rent (BTR), purpose-built student accommodation (PBSA) and build-to-sell schemes.

It will provide scaled access to capital in undersupplied UK housing markets. The three-year forward-flow partnership will target loans between £20m to £75m.

The platform will also be supported by a senior credit facility provided by a major international bank. Puma Property Finance told Inside Housing Living that it could not disclose the bank’s name.

The partnership will enable Puma to expand its capacity in the £20m+ loan segment, where it believes demand for institutional capital to outpace supply.

Demand for funding is reflective of the continued shift towards non-bank lenders in UK development finance, which together accounted for 57% of all commercial development lending last year. Throughout 2025, the UK living sectors attracted investment of £12bn.

Anirban Ghosh, managing director at KKR, said: “We believe this platform is well positioned to support experienced developers delivering much-needed housing across the country, combining Puma’s local expertise and origination capabilities with KKR’s global credit platform and disciplined underwriting approach.”

Paul Frost, managing director of Puma Property Finance, said: “This new joint venture provides our origination teams with access to attractively priced, scalable capital to support best-in-class developers across the UK living sectors.”

Since inception in 2012, Puma has provided over £2bn of UK real estate-backed loans and developed long-standing relationships with sponsors across the residential and student accommodation sector.

In the past year, Puma exceeded £2bn of loans provided to date and announced the first close of Puma Real Estate Secured Credit Fund.

Last month, McLaren Property secured a £20m loan provided by Puma Property Finance to build a 145-studio co-living scheme in Exeter City Centre. This is the first partnership between McLaren Property and Puma Property Finance.

Last year, private equity giant Blackstone and a finance provider partnered to lend £2bn across the living sector in the UK and continental Europe. The loans primarily target real estate owners and developers in PBSA, co-living, rental and for-sale housing in the UK and across core markets in continental Europe.

The partnership is intended to provide financing solutions for developers in the living sector across Europe, where there has been a rising demand for private credit.

Banks have continued to reduce real estate debt lending, while there is approximately £873bn of commercial real estate debt outstanding and £271bn in annual origination.

Cardiff working on first council-led build-to-rent scheme

Zainab Hussain — Fri, 13 Mar 2026 11:00:00 GMT

Cardiff is working on developing its first council-led build-to-rent (BTR) scheme in the city centre.

Speaking to Inside Housing Living at the MIPIM property conference in Cannes, David Jaques, assistant director of development and regeneration at Cardiff Council, said that the council was working on developing a BTR scheme in Central Quay.

“[It will be our first] council-led housing regeneration project, where we will look at directly delivering BTR as well as social rented and potentially some homes for sale as well, which is really exciting for us [but] also a little daunting because it’s new for us,” Mr Jaques said.

“We can use the homes for rent and the homes for sale to help us subsidise the delivery of the social housing.”

Cardiff Council recently negotiated the acquisition of land on Central Quay to build around 1,000 new homes, with the purchase due for completion next month.

There are already 715 BTR homes being built on Central Quay, funded by Legal & General.

The council has a masterplan in place where the buildings will range from 20 to 30 storeys, and it expects to put in a planning application for the development in around 18 months.

The council’s goal, Mr Jaques explained, is that the BTR homes will be offered “slightly below market rent” while “remain[ing] viable”.

There will be an equal split between the number of BTR and social rent homes in the development initially, and there is potential in the future for more social rented homes than BTR.

Cardiff Council is exploring whether it can fund the project itself or enter a partnership with a private developer – with the first option being its preferred one. The council will make a decision by the end of this year.

“Then we will own it, we will maintain it and manage these blocks,” Mr Jaques explained.

“From a council point of view, we can ensure it remains affordable for people and we’re going to be a secure landlord, so people have more reassurance about the security of their tenancies as well.”

But if the council decides to enter a partnership with a private developer, it is looking for a developer “that has access to private finance to deliver BTR”, and “one delivery partner to deliver the entire project”, including the BTR homes and the social rented homes in line with the council’s masterplan.

The Welsh council’s entrance into the BTR market follows the east London borough of Havering, which approved a partnership earlier this month to deliver 600 homes with investor and developer Inspired Solutions.

Last year, another London borough, Barnet, partnered with Aviva Capital Partners to develop 130 BTR homes, half of which will be affordable.

Cardiff declared a housing crisis in the end of 2024. Currently, there are 9,500 people on the council’s housing waiting list, and a “significant number of people” in temporary accommodation.

“We know there’s a high demand for rent accommodation in Cardiff and we also see an issue around affordability,” Mr Jaques said.

“So that’s where we as a local authority feel we can make an intervention into the market to try and make private rent more affordable.”

“We need to work more innovatively with the private sector [and] we need to bring forward more permanent accommodation.”

Cardiff Council is one of 10 authorities that make up the Cardiff Capital Region, which was exhibiting a new investment prospectus at MIPIM.

Also at the conference, US developer Greystar’s director told Inside Housing Living that it is working on a low to mid-rise suburban BTR product for the UK.

Last year, a campaign group in Cardiff expressed concern that co-living schemes are “forcing down quality” with inadequate communal space.

Dispatches from MIPIM 2026: PBSA jitters, single-family buzz and public-private partnerships

James Riding and Zainab Hussain — Thu, 16 Apr 2026 11:40:49 GMT

Living markets editor James Riding and reporter Zainab Hussain share their key takeaways from this year’s international property conference in Cannes

When big events shake the globe, investors are minded to sit on their hands. A new war in the Middle East darkened some of the conversations at this year’s MIPIM.

However, while you can hope for things to blow over soon, you can’t sit on your hands forever.

The delegation of UK developers and officials were confident as ever about the case for investment in their areas. They had an unlikely ally this year in comedian Steve Coogan, who addressed the conference as co-chair of a new development corporation to drive regeneration in his hometown of Middleton, Greater Manchester.

There was excellent energy on the UK stage as Inside Housing Living launched its in-depth report on global investment in UK rental living on Wednesday afternoon. Our research is a timely reminder that for all its housing challenges, the UK is very good at winning investment from around the world. If you haven’t read it yet, check out our interactive online version.

Global investors

As our report on global capital in the UK shows, US investors such as Blackstone still dominate the picture.

Blackstone owns for-profit affordable housing provider Sage Homes and IQ, a student accommodation platform. It is reportedly exploring a sale of its Leaf Living suburban build-to-rent (BTR) business, although sources stress that a deal might not be struck until next year and it would not be Blackstone’s permanent exit from the UK single-family market.

James Seppala, head of European real estate at Blackstone, told Inside Housing Living: “This week reinforced our view that long-term capital – and in particular UK institutional capital – is increasingly focused on UK affordable and rental housing, driven by attractive fundamentals, structural undersupply and the need for best-in-class operators to deliver high-quality homes and sustainable platforms.”

Our report also looks at the arrival of ‘national trailblazers’ in the UK, such as Dubai-based Arada, which acquired developer Regal London late last year. Arada’s London pipeline has swollen from 10,000 to 16,000 homes since October, but it will need to secure several more big sites to hit its goal of a 30,000-home pipeline in the next three years.

Intriguingly, Arada London has leapfrogged BTR and gone straight from building for sale to developing co-living schemes. It is pitching its market sale homes to young professionals currently living in BTR schemes who want to buy and stay in their area, with all the top-flight amenities they are used to. Arada would also consider moving into shared ownership, we understand.

Single-family or ‘garden-style’?

Inside Housing Living readers will be keenly aware of the rise of single-family BTR, with investors buying new build suburban homes from house builders. Single-family deals now account for half of all UK BTR investment, up from just 5% on average between 2018 and 2022.

No fewer than three investors and developers we spoke to at MIPIM this year said they were working on plans to enter the market for suburban rental homes. A high-rise modular builder is developing a low-rise single-family prototype, while timber-frame developer Bywater aims to make a single-family announcement in the middle of this year, backing SME house builders.

Greystar, the US BTR specialist, wants to try something slightly different. Two of its directors told Inside Housing Living they are working on a low to mid-rise suburban BTR product for the UK, similar to its ‘garden-style’ apartments in the US.

“Living is where our future is”

In a wide-ranging interview, Thomasin Renshaw, Greystar’s managing director of UK development, warned that construction costs are about to go up again because of rising energy costs. She called for the government to delay the Building Safety Levy for “a few years” to spur housebuilding.

Bywater, which was founded by Iceland Foods chair Richard Walker and is co-owned by Japanese firm Sumitomo Forestry, also wants to build US-style apartment schemes with three or four storeys in suburban locations, with a focus on England’s cathedral cities. “Living is where our future is,” Bywater’s chief executive Patrick O’Gorman said.

For-profit affordable housing

Last year at MIPIM, Inside Housing Living sat down with James Agar of Pension Insurance Corporation (PIC) to discuss its newly launched Habiko affordable homes partnership with developer Muse and Homes England.

A year on, Habiko has announced its first three deals in Solihull, Chester and Warrington, with more sites coming this year.

Mr Agar says the portfolio will be “heavily slanted to social rent”, using grant from the new Social and Affordable Homes Programme, and he hopes to have homes built and occupied by 2029. Muse is reviewing some of its existing sites to see whether Habiko homes can be added.

The Greater London Authority (GLA) is paying attention, too. Asked by Inside Housing Living if London would do its own Habiko-style public-private partnership, the capital’s deputy mayor Tom Copley said: “We are hoping in the near future potentially to make an announcement around a significant public-private partnership involving the GLA.”

He added that through London’s City Hall Developer Investment Fund, “we will be able to invest in this kind of manner, for example through equity investments”.

Through its forthcoming for-profit affordable housing provider, which is currently being registered with the Regulator of Social Housing (RSH), PIC has the ability to buy tenanted homes from housing associations.

Mr Agar said he has looked at “a number of opportunities” for acquisitions but none have come forward yet. The wait for the next wave of stock transfers goes on.

New investor interest in affordable housing, meanwhile, continues to grow. Inside Housing Living understands that a major European asset manager is in the advanced stages of setting up a for-profit provider with the RSH, with more details expected in the next few weeks.

Student accommodation

Purpose-built student accommodation (PBSA) is in an interesting spot at the moment. Student housing remains one of the most profitable tenures to build, but falling international student numbers are a real concern – just look at how the giant PBSA landlord Unite Students’ share price has been battered over the past year.

In late 2025, the US’s biggest student landlord, Landmark Properties, made a grand entrance into the UK, announcing schemes in London and Birmingham.

“We think that the quality of the UK higher education infrastructure is globally very compelling and among the best in the world”

Speaking to Inside Housing Living at MIPIM, Ioannis Verdelis, Landmark’s managing director for investment and development, said he wants to launch between four and six PBSA schemes a year in the UK, each one with around 500 beds.

“We think that the quality of the UK higher education infrastructure is globally very compelling and among the best in the world,” he added.

The universities themselves have more concerns, however. Professor Wendy Larner, president and vice-chancellor of Cardiff University, was at this year’s MIPIM on behalf of Cardiff Capital Region.

She tells Inside Housing Living that even Russell Group universities are experiencing a “very significant drop” in international student numbers, and that “grim is the only word for it”.

The recent decision by the government to ban students coming from Afghanistan, Cameroon, Myanmar and Sudan will impact cities such as Cardiff, Sheffield, Leeds and Newcastle, she said.

Cardiff University has been thinking about how it will redevelop and repurpose its traditionally affordable student accommodation, which it says has reached the end of its life.

The university will decide whether to carry out the project off its own balance sheet or go into a partnership by the end of the year.

Scotland and the regions

It was another strong year for UK regions and devolved nations at MIPIM. From a policy perspective, they have lots to shout about. Central government has committed to strategic planning, with metro mayors drawing up their own spatial development strategies.

Greater Manchester has launched a £1bn growth fund to improve the viability of schemes, while next month Homes England moves to a more regional model with a new fleet of regional directors.

A bigger-than-usual Scottish delegation at this year’s conference suggests that developers are feeling buoyant after securing rent control exemptions for BTR and mid-market homes in the Housing (Scotland) Act 2025.

David Melhuish, director of the Scottish Property Federation, calls the rent control exemption a “big win” for investor confidence, and says there are several BTR schemes in planning that can now come forward, although it will take time to truly judge the benefits.

The Scottish National Party looks on track to win the most seats in May’s Holyrood election. If they do form the next government, current housing secretary Màiri McAllan has promised to launch a new agency to encourage housebuilding of all tenures.

Beyond the big cities: PBSA’s overlooked markets

Rebecca Shafran — Thu, 12 Mar 2026 10:30:00 GMT

Shifting visa rules, rising tuition fees and questions around long-term enrolment trends have made investors more selective, writes Rebecca Shafran, an alternative markets research director at BNP Paribas Real Estate

Conviction is returning to the UK’s commercial real estate markets. Easing debt costs, relatively cheap entry points and the prospect of returns well above long-run norms should begin to fuel a recovery in transaction volumes during 2026. The Investment Property Forum’s latest forecasts suggest UK all-property total returns will reach 8.4% in 2026, up from 7.1% last year.

Still, uncertainty lingers and fundamentals are diverging across sectors, prompting capital to cluster around a narrow range of asset types and geographies: prime offices, logistics, data centres and retail parks, for example. That leaves an important question: where else should investors be looking?

While the purpose-built student accommodation (PBSA) market has faced challenges recently, investor sentiment remains robust. It ranked third in the sector outlook for the PwC/ULI Emerging Trends in Real Estate: Europe 2026 report and consistently ranks in the top 10, so demand is clearly strong, but the financial health of some UK universities has become a concern during the past 18 months or so.

Shifting visa rules, rising tuition fees and questions around long-term enrolment trends have made investors more selective, concentrating capital in cities with top-ranked, Russell Group universities, where institutions are seen as more resilient to policy changes and international demand continues to build.

Development pipelines complicate the picture. Some of the more attractive cities are relatively well supplied, and others have sizeable pipelines, while cities and towns with non-Russell Group universities are beginning to look undersupplied. The imbalance prompted us to take a closer look at the 50 largest university cities in the UK to understand where the overlooked opportunities might lie.

Measuring provision

To do this, we analysed a range of indicators designed to capture both demand-side strength and supply-side constraints. On the demand side, we focused on total student numbers, the proportion of international students and growth in international enrolments, given international students’ preference for PBSA.

On the supply side, we looked at the number of students per PBSA bed, a proxy for undersupply, as well as student satisfaction scores from StudentCrowd, which served as a qualitative measure of existing stock quality.

Finally, we incorporated the Next X Student Quality of Life Index, which scores each city on a set of 10 lifestyle and infrastructure-related metrics. The aim was to identify locations where demand is strong or rising, supply is constrained or inadequate, and there is a broader rationale for investment tied to improving the student experience.

Several non-Russell Group cities stood out. Hatfield, Middlesbrough, Derby and Lincoln each demonstrated strong growth in international student numbers and already host relatively high proportions of overseas students. Some have established global partnerships, and all benefit from a relatively lower cost of living compared to many Russell Group locations.

Many are close to major manufacturing hubs or are undergoing significant campus improvements, which further supports long-term student growth and PBSA viability. Crucially, they also share signs of underprovision: student-to-bed ratios are significantly below average, with Hatfield and Middlesbrough the most acute, at 3.5 and 5.4 students per PBSA bed, respectively.

Tuely Robins, director of strategic partnerships at StudentCrowd, adds: “As cost pressures squeeze traditional hubs, the search for untapped PBSA markets has intensified. StudentCrowd provides the granular resident insight necessary to ensure new supply meets specific student demand.

“In these overlooked locations, the endorsement of first residents, tracked through verified data, is the greatest lever any owner or investor can pull to secure a competitive edge and long-term asset viability.”

StudentCrowd satisfaction scores for existing PBSA are below four out of five in most of these markets (with the exception of Derby), pointing to potential quality issues or unmet expectations. Meanwhile, each city scored modestly on the Next X Student Quality of Life Index, suggesting that targeted investment in modern, well-located PBSA could materially improve both the student experience and institutional competitiveness.

International partnerships

Middlesbrough perhaps presents the most compelling investment case. Its student-to-bed ratio of 5.4 compares to 2.0 in London, 2.1 in Manchester, 1.5 in Birmingham and 1.8 in Bristol. The number of international students at the city’s university, Teesside, has surged 40% in the last two years, in part thanks to partnerships with institutions in Italy, Sweden, Singapore and Malaysia. That brings the proportion of international students to more than a third.

Local government has already taken steps to alleviate the acute shortage of suitable accommodation. In April 2025, Middlesbrough Development Corporation Planning Board approved a £200m regeneration project that will include a new hotel, 240 build-to-rent properties and more than 400 student beds. While that is a good start, more could be delivered to satisfy demand from the university’s 13,545 full-time students.

That’s not to say Hatfield, Derby and Lincoln should be overlooked. At the University of Hertfordshire in Hatfield, international student numbers have climbed 43% over the past two years and now account for more than half of all students. At the University of Lincoln, the number of international students has nearly doubled, making up over 20% of the total.

Similarly, the University of Derby has seen a 40% surge in international student numbers, who now represent a fifth of the student body. Derby also benefits from a strong industrial base – home to major employers such as Rolls-Royce, Alstom and JCB – which enhances its appeal to graduate talent.

Cultural factors

Granted, there are other metrics worth considering. Planning can be more difficult in places not used to high-rise residential.

There may be cultural factors at play, too: students in some areas are more likely to live at home. More than a fifth of full-time students at Teesside University in Middlesborough, for example, live at home, compared to 9% at the University of Manchester, 6% at the University of Leeds and 5% at the University of Nottingham. This could, however, reflect poor provision just as much as a cultural preference for staying at home.

For PBSA investors seeking long-term income, sustainable occupancy and better entry points, these less familiar university towns could present a compelling opportunity if there is a clear view that these trends are embedded in the long term. The fundamentals – rising international demand, constrained supply and swelling investment – are increasingly evident.

But while most investors look elsewhere, first-movers will be best placed to secure sites, shape placemaking and build the next generation of PBSA. In a market where capital continues to crowd into the same few cities, it’s those willing to look again – and look closely – who stand to benefit most.

Rebecca Shafran, research director in the alternative markets team, BNP Paribas Real Estate

Greystar directors working on suburban build-to-rent product for UK

James Riding and Zainab Hussain — Thu, 12 Mar 2026 11:09:44 GMT

Greystar is working on a low to mid-rise suburban build-to-rent product for the UK, its directors have told Inside Housing Living.

Ben Mowbray, managing director of UK investments, and Thomasin Renshaw, managing director of UK development at Greystar, also warned construction costs are about to rise again and called for the government to delay the Building Safety Levy to spur housebuilding.

Mr Mowbray and Ms Renshaw spoke to Inside Housing Living in a wide-ranging interview at the MIPIM property conference in Cannes, France.

“We see a massive opportunity in the mid-market, particularly one and two-person households,” Ms Renshaw said.

“Single-family housing is great for families, but one and two-person households are often overlooked, particularly in areas of high economic growth.”

Greystar builds one and two-person homes in its native US, where it calls them ‘garden-style’ apartments. Schemes typically feature several smaller buildings of no more than four storeys, with landscaped outdoor areas.

Garden-style apartments form a significant proportion of the landlord’s 746,000 homes in the US, and many are built in Greystar’s modular housing factory in Pennsylvania.

Greystar is “actively working on” bringing these low-to-medium density homes to the UK, Ms Renshaw said, adding: “Watch this space. We can see there’s a need for it.

“It’s the right market to be going into at this point as well. Lots of people need good-quality rental housing [who] live outside urban areas.”

The firm has long managed single-family homes in the US, and recently launched an investment business to develop them as well.

Asked if it will enter the single-family market in the UK, Mr Mowbray said: “We’re looking at it, exploring it, but we haven’t done it yet”.

Ms Renshaw, who joined Greystar in December from developer Pocket Living, explained that Greystar would like to develop its own single-family homes in the UK rather than buy existing stock. She added that her biggest focus is driving Greystar’s development pipeline.

“A lot of that over the past few months has been talking to the powers that be about what we need to create the right environment for development to come forward,” she said.

If investors don’t get a return that is “commensurate to the risk that they’re taking with their money”, funding will flow into buying existing schemes.

“Which is great for Greystar, because then we buy and operate more homes, but it’s not great for London or other cities, because there are no more homes being built.”

Construction costs “are about to go up again”, Ms Renshaw continued. “We can feel it, because energy costs are going up, so we know what we’re on the cusp of.”

Meanwhile, there have been “so many changes to building regulations over the last five-plus years, most of it unexpected and every time adding more cost”.

The government has announced an emergency package for London house builders, including Community Infrastructure Levy relief, but Ms Renshaw says this tax break “only helps until October”, after which developers will be charged a new Building Safety Levy, “and that’s equal to about the same about of money”.

She called for the date of the Building Safety Levy to be “pushed out a few years to recognise that we actually need more homes”.

A Ministry of Housing, Communities and Local Government spokesperson said: “The Building Safety Levy strikes the right balance between raising funds to ensure homes are safe, and minimising impact on housing supply.

“We delayed the implementation last year to give developers more time to prepare and no further changes are planned.”

Mr Mowbray said Greystar is currently looking to buy existing schemes, refurbish them with new technology and use the landlord’s “massive operational platform” to drive efficiency.

“It’s not like you have to buy stuff that’s 30 years old,” he said. “It’s stuff that’s built in the last five years. It’s just cheaper to buy than build.”

Greystar is reportedly closing in on a deal to buy 900 build-to-rent flats in Elephant and Castle, south London, from Australian developer Lendlease and Canadian pension fund CPPIB, in what could be one of the largest ever UK build-to-rent transactions.

It also operates age-restricted co-living buildings in the Netherlands, which it refers to as ‘young professional housing’. The landlord currently has one co-living building in Bristol that is restricted to non-students but sits under its Student Roost platform.

Asked if Greystar would develop co-living in the UK, Ms Renshaw said it is not actively looking for co-living sites but “it’s not been ruled out”.

Mr Mowbray said one challenge is that planning restrictions for co-living schemes can vary widely across different parts of England.

However, Ms Renshaw said Greystar has a preference for building student accommodation rather than co-living: “We understand student housing, so if you’ve got a site that works for co-living, it’s probably going to work for PBSA. So our preference will always be to do what we do well.”

Greystar’s 1,600-home Pearl Yard scheme in Bermondsey, south London, is currently under construction and the first building has hit practical completion. It aims to have the rest of the scheme coming online by the end of next year.

Ms Renshaw added that it is “fairly inevitable” that England’s courts system will be overwhelmed when the Renters’ Rights Act comes into force in May, and Greystar is working with other large build-to-rent landlords to engage with government around the reforms.

The act gives tenants greater powers to take their landlord to tribunal if they think a rent increase is unreasonable.

Last week, reports also emerged that Greystar and Abu Dhabi Investment Authority have appointed agents for the possible sale of their 974-home Fizzy Living build-to-rent portfolio.

Build-to-rent is central to delivering the UK’s Northern Growth Strategy

Jonnie Milich — Thu, 12 Mar 2026 09:45:00 GMT

Jonnie Milich, head of UK residential at Starlight Investments, says build-to-rent can align with city-led regeneration to unlock the full potential of the North

The government’s Northern Growth Strategy sets out a clear “case for change”: productivity gaps persist, labour market participation varies significantly across regions and infrastructure constraints continue to limit economic potential.

The message is unambiguous. If the UK is serious about national growth, it must unlock the full potential of its Northern cities. Housing is central to that ambition.

Housing has traditionally been viewed primarily as a social outcome, but it is increasingly clear that it functions as a core economic input. If the North is to close productivity gaps and strengthen labour mobility, it must ensure that skilled workers can afford to live close to city-centre employment, transport hubs and regeneration zones.

In this context, high-quality rental housing is not peripheral to growth; it underpins it.

Local and combined authorities in Manchester, Leeds and Liverpool have set out credible regeneration strategies aligned with the national growth agenda. However, councils are under sustained pressure: balancing transport investment, net zero commitments, public realm improvements and fiscal constraints, while also being tasked with accelerating housing delivery.

The result, in many areas, is a growing gap between strategy and delivery, as capital certainty and viability alignment are increasingly fragile. Bridging that gap requires more than rhetoric. It requires structured partnerships between public authorities and long-term capital, with aligned incentives, realistic viability expectations and shared delivery risk.

The Northern Growth Strategy rightly emphasises the need to crowd in private investment. In housing, that means creating the conditions for institutional capital to deploy at scale. Build-to-rent (BTR) provides one such model.

Unlike the traditional for-sale model, which is highly sensitive to short-term market volatility, BTR is underpinned by pension funds and insurers investing with 20 to 30-year horizons. Homes are delivered to be held and operated, not sold. That fundamentally changes the delivery dynamic.

For councils, long-term capital provides something increasingly scarce: certainty. Forward-funded structures enable schemes to proceed without being entirely dependent on sales absorption rates, helping projects move from consent to construction even in challenging market conditions.

The British Property Federation has warned that development viability is “significantly constrained” nationwide, with hundreds of consented schemes delayed. Maintaining capital certainty will be essential if Northern regeneration is to sustain its current momentum.

Our first UK BTR scheme, Lighthaus at Liverpool Waters, demonstrates how this model can align with city-led regeneration. Located within one of the UK’s largest urban renewal programmes, it brings professionally managed rental homes into a strategic growth zone, supporting both placemaking and labour mobility.

However, if the government’s growth strategy is to succeed, policy consistency will be critical. The removal of Multiple Dwellings Relief (MDR) has materially affected underwriting assumptions for large-scale rental schemes. For institutional investors, MDR recognised the economics of delivering multi-unit rental communities. Its withdrawal has introduced additional complexity for larger schemes, particularly in regional markets where viability margins are already tight.

If housing is recognised as economic infrastructure, fiscal frameworks should focus on reflecting that. A modernised and predictable framework for rental housing taxation could help reinforce investor confidence and support sustained regional regeneration.

In an increasingly competitive global capital environment, predictability and clarity play an important role in investment decision-making. The Northern Growth Strategy rightly identifies the North’s structural strengths: universities, innovation clusters, advanced manufacturing and strong civic leadership. Ensuring sufficient housing capacity alongside these assets will be essential to unlocking their full economic potential.

With over 3,300 homes across our Northern pipeline and more than £1.1bn in UK assets under management, we are investing on the basis that these fundamentals are durable. Yet the private sector cannot deliver at scale in isolation. While our current focus is concentrated in key Northern growth cities, this approach reflects our wider UK strategy: deploying long-term institutional capital into urban markets where regeneration, labour demand and housing supply are structurally misaligned.

Greater consistency and clarity in planning processes, alongside improved viability alignment and stable fiscal signals, will be essential if regeneration zones are to attract sustained long-term capital.

The North has the ambition. Institutional investment can provide the delivery confidence. But sustainable regeneration will only be achieved where public leadership and private capital operate in partnership, with shared accountability and long-term stewardship at the core, ensuring regeneration strategies translate into homes, and homes translate into economic momentum.

Jonnie Milich, head of UK residential, Starlight Investments

Greystar and Emirati wealth fund explore sale of £400m build-to-rent portfolio

Zainab Hussain — Thu, 12 Mar 2026 08:32:06 GMT

US developer Greystar and an Emirati wealth fund are reportedly exploring the sale of their £400m UK build-to-rent (BTR) portfolio.

Greystar and Abu Dhabi Investment Authority (ADIA) have appointed agents for the possible sale of the Fizzy Living portfolio.

Fizzy Living is one of the UK’s first BTR developments, comprising 974 homes built between 2012 and 2021 by housing association Metropolitan Thames Valley Housing (MTVH).

The portfolio is made up of eight sites in and around London, including in Canning Town, Lewisham, Epsom and Stepney Green.

Property agency JLL has been appointed to undertake a review of the assets, according to Green Street News which first reported the sale.

The review could entail a full or part sale of the portfolio or of individual schemes. Greystar declined to comment for this article.

ADIA has been reviewing its European holdings, with its higher-risk value-add portfolio expected to attract significant interest.

Greystar announced its strategic partnership with ADIA in December 2021, with a pledge of up to £2.2bn to provide BTR housing through ground-up development in London and its surrounding commuter towns.

The partnership had been targeting a development pipeline of approximately £1.8bn in total capitalisation and equity commitments of up to £750m between the partners.

Through the partnership, Greystar took on management of the Fizzy Living portfolio from housing association MTVH, which first developed the schemes.

As part of the transaction, the Fizzy Living brand and more than 30 of its employees were moved across to Greystar, increasing its footprint in London.

Harry Downes, who ran Fizzy Living, left Greystar at the end of 2024. Greystar’s current executive director, Mark Allnutt, was also at Fizzy Living and joined Greystar in 2014 as one of its first UK hires.

Last month, Greystar was closing in on a deal to buy 900 BTR flats in London. The BTR giant had been in talks to buy the homes in Elephant and Castle, south London, from Australian developer Lendlease and CPPIB, Canada’s biggest pension fund. The deal was worth around £500m. If concluded, it would be one of the largest-ever UK BTR transactions.

In January, Greystar appointed Thomasin Renshaw as its managing director of UK development to lead its BTR and PBSA strategies. Ms Renshaw previously served as chief development officer at Pocket Living, overseeing its pipeline of London schemes including Sheepcote Road in Harrow and Atlas Wharf in Old Oak.

Exclusive: giant US student housing developer plans to launch up to six UK schemes a year

Zainab Hussain — Thu, 26 Mar 2026 14:30:00 GMT

Giant US student developer Landmark Properties is aiming to launch up to six schemes a year in the UK, its managing director has told Inside Housing Living.

Speaking to Inside Housing Living at the MIPIM property conference in Cannes, Ioannis Verdelis, managing director for investment and development at Landmark Properties, said the developer is looking to launch between four and six 500-bed purpose-built student accommodation (PBSA) schemes annually in the UK following its entrance into the market last year.

“In the UK, we want to do four to six schemes a year,” Mr Verdelis said. “[If] you’re talking four to six schemes a year of 500 beds, that gives you the bed numbers, which kind of implies the value.”

A typical scheme would require an investment of around £100m, totalling to approximately £500m a year, coming from Landmark Properties’ capital and debt equity partners.

The Atlanta-headquartered developer, which manages 72,000 student beds in the US, announced its first two UK schemes at the end of last year, located in central London and Birmingham. It aims to become a leading player in European PBSA, via both direct development and acquisitions of existing schemes.

Mr Verdelis said Landmark Properties entered the UK PBSA market because it is the “most institutional market in terms of the depth of the investment market, [and] the number and the volume of transactions that have historically happened and are still happening compared to other markets”.

He explained: “We think that the quality of the UK higher education infrastructure is globally very compelling and among the best in the world.

“So, we feel we’re building on a good foundation and in a market that [has] a proven track record.”

On the UK’s recent decrease in student numbers, driven entirely by a drop in postgraduates, Mr Verdelis said that this was “normal life”, and that there was “strong growth in some markets”.

These include London, where there are multiple universities and multiple sources of demand, but not “as much new supply”.

Other locations include Birmingham, Newcastle, and Bristol – with the latter experiencing micro-locations with reduced supply.

Landmark Properties, which has been developing its schemes in the UK from the ground up, is also considering portfolio acquisitions of existing schemes that are very well located, to help it accelerate its entrance into the UK market.

On refurbishing existing schemes, Mr Verdelis said that “experience tells [him] that a lot of the time you struggle to deliver your eventual aspiration”, but that the student housing giant does not have a blanket rule against them.

Landmark Properties is also targeting both international and domestic students, by providing a mix of premium studios and cluster beds in order to have multiple price points within a building.

Challenges in the market, including getting through the gateway process with the Building Safety Regulator, construction costs, labour costs and finance costs, are being seen as an “opportunity” by Landmark Properties to enter the market.

“Our view is that in the medium term, these things will stabilise, and there will be less supply coming through in years to come as less capitalised or not-as-well-capitalised players might struggle to make things pencil, or might simply do less,” Mr Verdelis explained.

“You still see many schemes in planning or with planning [consent], but I think the delivery percentage of their success ratio will drop.

“So, our view is that if we use this opportunity to secure good schemes and evolve them and get them built, by the time we get to deliver those schemes, which is [in] three to five years’ time, we will be delivering in a market that will have seen fewer supplies coming through it historically.”

Landmark Properties is prepared for the current “tough market”, Mr Verdelis adds, because it is well capitalised to navigate the market with a medium-term plan.

The company also owns the properties it develops, and is a long-term investor. Since Landmark Properties is new to the UK PBSA market, it has also prepared itself for these challenges within its business plan.

Last week, accommodation platform StuRents revealed that student numbers for the 2024 cycle were down by around 1.9%, driven entirely by a drop in postgraduates. Postgraduate student numbers for the 2024 cycle fell by around 14.7%, while demand from undergraduate students remained positive. The decline follows 10 years of consecutive growth.

Last month, a report by Knight Frank found that investors committed £4.3bn to the PBSA market in 2025, just shy of the 10-year average of £4.5bn.

A total of 19,600 new PBSA beds were built across 64 schemes in 2025, representing a 20% increase on the previous year. However, this remains short of the five-year pre-pandemic annual average of more than 25,000 beds.

London had the highest number of new beds built at 4,350, followed by Nottingham at 2,550 and Leeds at 1,900.

Greater Manchester may relax net zero homes goal due to viability constraints, deputy mayor says

James Riding — Mon, 09 Mar 2026 17:00:00 GMT

Greater Manchester may relax its goal to build 10,000 net zero carbon homes by 2027 due to viability constraints, the region’s deputy mayor has said.

Paul Dennett, deputy mayor of Greater Manchester and mayor of Salford, said the zero-carbon element of the new homes may have to be retrofit “at some point in the future” as the economics of development come under continued strain.

Mr Dennett made the comments on an affordable housing panel at the MIPIM property conference in Cannes, France on 9 March.

He said: “Between now and 2027 we want to deliver 10,000 truly affordable, net zero carbon homes – or highly energy-efficient. We might need to retrofit the net carbon at some point in the future, because of viability constraints.”

He expanded on this theme later in the discussion, saying that current grant rates are not high enough to build truly net zero homes and they will have to be retrofit in years to come.

“We are building homes at the moment in Salford through the fabric-first lens, because we know viability is an issue.

“We know the grant rates don’t allow us to do net zero, but building fabric first with a view to then retrofitting at a point in time in the future is really, really important.

“Because what that means is you don’t stall the market delivering the units. You get on, and you do it and then you revisit it.”

Mr Dennett also said that Greater Manchester was seeing a “significant shift” in the delivery of truly affordable housing thanks to the government’s new Social and Affordable Homes Programme, for which 60% of the funding must go on homes for social rent.

“That is sending a very clear message from the top, which then the market, working with local authorities, then goes on and delivers,” he said.

His comments were echoed by Abigail Dean, global head of strategic insights at US asset manager Nuveen.

She said that partnerships with local authorities were key to the success of its developments via Preferred Homes, its extra-care for-profit provider.

“In the UK we’ve developed a model that works,” she said. “We’ve developed a relationship of trust with Homes England, so we can secure grant funding from them.

“We’ve developed relationships of trust with several local authorities, and then with the affordable extra-care developments that we’re doing, we can replicate exactly what we’ve done in previous local authorities and deliver that again.

“Just rinse and repeat, really. It might not be the most innovative, but it means that you can have security in terms of the time to deliver, and you can give assurances to all the different stakeholders of what the end outcome will be.”

Ms Dean also explained her views on the biggest barriers to affordable housing development.

She said: “One of the most significant barriers is variability in regulations, variability in subsidy environment and a lack of certainty.

“So [if] investors have uncertainty in terms of what that subsidy environment is likely to look like, or regulations around development and planning, they will have to cost extra risk in. So that immediately presents an additional barrier.

“The presence of subsidy, the presence of support, the presence of housing benefit, is important, but equally as important is that certainty in what that environment is going to look like.

“Even within the UK, you have variability from region to region or authority to authority. So I think consistency also makes it easier. That’s our experience in the USA.

“While there is some variability state to state, there has been a little bit more of a consistent environment there, where we’ve been able to work effectively with state partners in order to deliver affordable housing.”

Last year, Inside Housing Living interviewed Preferred Homes chief executive Findlay MacAlpine about the for-profit provider’s growth plans and US backers.

Global Investment in UK Rental Living

Inside Housing — Wed, 22 Apr 2026 10:06:30 GMT

Student numbers down 1.9%, driven entirely by drop in postgraduates

Zainab Hussain — Fri, 06 Mar 2026 15:30:00 GMT

Accommodation platform StuRents has revealed that student numbers for the 2024 cycle were down by around 1.9%, driven entirely by a drop in postgraduates.

According to StuRents’ Q1 2026 webinar, postgraduate student numbers for the 2024 cycle fell by around 14.7%, while demand from undergraduate students remained positive. The decline follows 10 years of consecutive growth.

Data from the Office for Students (OfS) covering England in 2025 showed that the total number of overseas students was down by 4.9%.

Although the number of overseas undergraduate students grew by 4.6%, the number of overseas postgraduate students fell by 13.2%.

Comparing these figures to 2023, when overseas student numbers were at their peak, postgraduate student numbers were down by 28.3%.

Data from the OfS also showed that the total number of full-time students in London fell by just over 9,000 year-on-year in 2025, despite undergraduate student numbers increasing by almost 7,500.

Compared with 2018, there were almost 25,000 additional students in Bath, almost 17,500 more in Birmingham and almost 15,000 more in Manchester in 2025.

But numbers fell by more than 5,000 in Sheffield and Brighton compared with 2018. In Coventry, additional student numbers also fell by around 5,000 in 2024 but rebounded in 2025, though they remained below 2018 levels.

Coventry’s year-on-year increase in full-time overseas student numbers stood at around 1,500 in 2025, while overseas student numbers fell in Nottingham by just over 2,500 – coinciding with rising purpose-built student accommodation (PBSA) supply.

Manchester also experienced a year-on-year decrease of just over 2,000 in full-time overseas student numbers, and Exeter a decrease of just over 1,500.

StuRents also warned of long-term changes to overseas postgraduate student figures, which have been volatile but remained positive in certain locations.

In Manchester, overseas postgraduate student numbers grew by around 8,000 between 2018 and 2023, but then fell by around 4,700 between 2023 and 2025.

StuRents’ monthly survey on national PBSA occupancy, in which around 240,000 student beds take part, also looked at planning activity.

It found that the number of student beds submitted in 2025 stood at 33,000, compared with 47,000 in 2024 – equating to a 30% fall.

In 2025, 32,000 student beds received approval compared with 37,000 in 2024.

A total of 77% of beds in planning were in the top 10 locations, and more than half of all beds submitted last year were in three locations: London at 24.5% of all beds, Manchester at 16.2% and Glasgow at 11.1%.

The platform warned that the UK domestic market in certain locations moves as early as October, and with many PBSA providers not publicly releasing their pricing at that point, there may be an untapped potential to attract early domestic demand.

Another challenge, it added, was that when looking at supply and demand, PBSA and houses of multiple occupation, as well as build-to-rent, co-living and single-family housing, all need to be taken into consideration in order to have a “strong grasp” of what the level of supply is in each market.

Last week, giant student accommodation provider Unite Group lowered its profit outlook for the third time in four months and cut rents in some cities amid a fall in the number of international students coming to the UK.

Last month, a report by Knight Frank found that investors committed £4.3bn to the PBSA market in 2025, just shy of the 10-year average of £4.5bn.

Iran war could drive up construction and energy costs, developers warn

James Riding — Thu, 05 Mar 2026 10:15:00 GMT

Developers have warned that the conflict in Iran could push up construction and energy costs, reducing the likelihood of a rapid rise in housebuilding.

The warning from house builders came after the UK’s Office for Budget Responsibility (OBR) predicted housebuilding will reach a low of 220,000 in 2026-27, before rising steeply in the following years.

Experts have warned that the escalating war threatens to feed rapidly through to energy and building costs in the UK, making the chance of a rebound in housebuilding less likely.

Oil and natural gas prices have risen sharply since the war in Iran started over the weekend.

Paul Rickard, chief executive of developer Pocket Living, said house builders “need to be mindful” of the potential consequences of the events in the Middle East on inflation, “especially for construction where the cost of energy has a real impact”.

Mr Rickard added: “Measures to mitigate against the impact of this are vital, given that cost pressures have wrought havoc in recent years on development activity and resulted in the viability challenge we now face.”

Karl Horton, data services director at the Building Cost Information Service (BCIS), said that “prolonged unrest” in the Middle East “raises risks for input construction costs”.

He said: “While it’s too early to draw firm conclusions, a spike in energy prices, such as the increases reported in the oil and gas markets this week, could see contractors and subcontractors paying more for transport and materials.

“This would place upward pressure on tender prices and could constrain project viability or delay investment decisions.”

He pointed out that this week’s economic forecast from the OBR, which included higher-than-expected reductions in inflation and borrowing costs, was completed before the Iran war escalated, potentially rendering the forecast out of date.

Mr Horton added that a sustained increase in energy prices could “quickly place pressure” on the UK government’s spending plans and “reduce the likelihood of a rapid uplift in construction output”.

Noble Francis, economics director at the Construction Products Association, made a similar point in response to the Spring Statement, delivered by chancellor Rachel Reeves this week.

He said: “One noteworthy point in the Spring Statement was that the OBR forecasts the low point in housebuilding will be next financial year [2026-27], after which it expects housebuilding to rise very sharply.

“However, despite this, it still forecasts only 1.3 million net additional dwellings in the UK over the five-year parliament.

“The government’s 1.5 million target is for England only over five years, and the OBR forecast is equivalent to 1.1 million net additional dwellings in England. So the OBR forecasts that the government will miss its housebuilding target by 400,000 homes or 26%.

“Furthermore, given that the OBR forecasts are over-optimistic due to the recent Middle Eastern conflict, as inflation will be higher and there will be fewer delayed interest rate cuts than the OBR has forecast, this suggests that the OBR’s housebuilding forecasts will be revised down further at the Autumn Budget.”

The OBR said that net additions to the UK housing stock are expected to fall from an average of 260,000 a year in the early 2020s to a low of 220,000 in 2026-27, as recent subdued housing starts feed through.

However, it then expects net additions to rise sharply to just over 305,000 by 2030-31, reflecting the importance of planning reforms.

It also forecast that residential investment will rise from 4.75% of GDP in 2025 to 5.5% of GDP in 2030, as the government’s previously announced planning reforms boost housebuilding.

The cost of building surged 24% between 2020 and 2023, according to the BCIS, when supply chains were disrupted by the Covid pandemic and the Ukraine war turbocharged energy costs.

The surge in wholesale gas prices followed by Russia’s invasion of Ukraine forced the government to step in and reduce energy costs for consumers in October 2022.

This International Women’s Day, don’t just criticise the pace of change – be the change

Maribel Mantecon — Thu, 05 Mar 2026 10:00:00 GMT

Strengthening women’s roles in the built environment demands that we use our influence to benefit others, writes Maribel Mantecon, architect and senior associate at HTA Design

Every International Women’s Day, we inevitably count representation. How many women lead organisations, sit on company boards or speak on panels. Of course, those numbers matter. But they are not the whole story.

The harder question is this: do women, especially mid-career women, have the same access to power, progression and economic security as their male counterparts?

Meaningful gender equality goes beyond representation metrics. It is fundamentally about being able to take the reins of power, to progress and to have freedom.

I grew up surrounded by strong women. My mother and grandmother were intelligent, resilient and deeply supportive. They held families together. They endured.

What they did not have, however, was economic independence. They did not earn their own income. They did not have the security of knowing they could leave if they needed to. They did not have full agency over their lives.

I was the first woman in my family to go to university and build a professional career. That was more than ambition; it was a generational shift. My father had hoped for a son, and instead he got me. But he never looked back, raising me to believe there was nothing I could not do.

So I began my career assuming I belonged in the room. From the early days I was comfortable chairing meetings full of (much older) men. I did not see my gender as a barrier.

But I soon learned that confidence and capability are not enough. Progression depends on what happens when you are not in the room – and whether someone is willing to stand behind you.

The single biggest influence on my career and its trajectory has been the support of clients. Their trust created credibility, and that credibility travelled. It travelled to consultants, to colleagues and across the organisations I worked for. That backing made the difference.

Because talent does not advance itself. People advance people.

This is something I’ve come to understand over time. I’ve been lucky, in terms of the belief my parents gave me, in the structural advantages I inherited and in the clients who backed me at pivotal moments.

It is because of these factors that mentoring and sponsoring others is not optional for me. It is the responsibility that comes with influence. It is how progress happens. Without it, nothing changes. It is only fair.

The progress on equality over the past decades is real, but it has been painfully slow. This makes me angry. Angry that mid-career women are still underestimated. Angry that comfort and familiarity still shape progression. Angry that we are still talking about things which should have been settled years ago.

We know what works. We know talent is not the issue. And here is the uncomfortable truth: many of us are no longer waiting for power, we already have it. We sit on boards, lead teams, shape culture. We influence appointments. We decide who gets visibility and who gets the next opportunity.

This means we cannot simply criticise the pace of change, for we are the pace of change. If we want things to move faster, we have to sponsor differently. We have to challenge bias in real time. We have to say the overlooked name in the room, and mean it.

This is not about symbolism. It is about power. And pay. It is about who gets real choice in their life. And calling out prejudice when we see it.

The progress may be slow, but we’re not without agency. And we don’t need anyone’s approval to act.

Maribel Mantecon, architect and senior associate, HTA Design

Investors are waking up to the need for climate-resilient homes

Tanmay Desai — Mon, 09 Mar 2026 09:37:42 GMT

Making building operations and infrastructure resilient to climate events will give confidence to residents and asset owners alike, writes Tanmay Desai, head of built environment at PIC Capital

Pension Insurance Corporation (PIC) invests in real estate assets because we need long-term cashflows to help us pay pensions stretching out decades into the future – a period in which the environmental and geopolitical climate could change substantially.

It is a cliché that Brits love to discuss how unpredictable the weather is, but the science is clear: winters will be warmer and wetter, summers hotter and drier. Few would have predicted Trump’s tariffs, the Ukraine war or Covid, but given we have experienced these shocks it is likely the next few decades could throw up similar, and this is why resilience has always been key for long-term investors.

Assessing how resilient our current and potential assets will be under a range of scenarios is an essential part of PIC’s investment approach. As the climate changes, the UK housing stock could well face more storms with excessive winds, frequent flooding and extended periods of heat, leading to warmer buildings and drier ground conditions. It could also potentially face scarcity or increased costs of resources such as fossil fuels, water and electricity.

Making building operations and infrastructure resilient to climate events will give confidence to residents and asset owners alike – ensuring the development does not become a legacy asset in need of a fundamental retrofit or change in use. Reducing the lifetime cost of ownership by designing in lower energy and heating costs with less reliance on central power networks and more on-site power generation builds in resilience.

The initial examination of a development’s resilience should look at essential services and how we can ensure they continue if severe weather events become more frequent. For example, we will look at key routes to local amenities and infrastructure and check that our residents – and our assets – are not landlocked during floods.

For services essential to running the building, we will check if there are single points of failure of key services such as waste management, water, electricity and communications, and gauge how alternative options can be deployed when required.

Within the asset itself we will consider and test management strategies and the key responsibilities of staff and residents to secure properties in the event of extreme weather. We will look at what resilience options there are that can be deployed on a short or medium-term basis if necessary.

Where we have external service providers, we will check on a regular basis to ensure they are solvent and that service charges are used as intended to finance future infrastructure improvement requirements.

Key climate risks we are factoring in now include excessive wind and flood risk, as well as overheating and drier ground conditions, which can lead to subsidence and potentially fuel or service charge poverty. We have developed a Flood Risk Framework which we use to assess the risks associated with flooding to the assets already in PIC’s portfolio or being considered for new investment.

“For extreme heat, rather than turning to carbon intensive air-conditioning options, we will consider more long-term resilience options, such as solar shading or ventilation screens”

The framework allows PIC to identify the acceptable flood risk levels for different asset types, outline steps to consider and specify if further modelling and development mitigations are required. We will also identify if local flood defences are being maintained and if we are confident they will continue. If the risk is too high, we will reject an investment.

For extreme heat, rather than turning to carbon intensive air-conditioning options, we will consider more long-term resilience options, such as solar shading or ventilation screens. Dry weather and high temperatures can lead to subsidence in areas with clay soils. This is less of an issue for new builds as they have stronger and deeper foundations than older properties, but for the latter, we would look at the ground-testing data to check it can weather climate change.

Fuel and service charge poverty are both growing issues as energy and maintenance costs have soared. This means charges and service fees in residential buildings could increase significantly, leaving some tenants in economic distress.

Using a range of energy-efficient and low-carbon technologies such as solar power systems and air-source heat pumps helps reduce bills, as well as contributing to airtight, well-designed buildings. This is where being a long-term investor helps – we are incentivised to reduce maintenance costs because we will be paying them.

Lastly, the global insurance market will over time need to look at its assets with a climate resilience lens and on a risk-factoring basis. Will the insurance cover lapse during the lifetime of the asset? Will there be a range of cost-effective providers if it does?

Shifting from a reactive to a proactive approach is key to building assets today resilient enough to face the challenges of tomorrow.

Tanmay Desai, head of built environment, PIC Capital

Will relaxing Section 106 be the boost developers need?

Zainab Hussain — Thu, 05 Mar 2026 07:00:00 GMT

The government has launched a time-limited plan to convert unsold Section 106 homes into private sale or rent. But will that be the boost that developers need? Zainab Hussain finds out

According to a study by the Home Builders Federation in December 2024, there were an estimated 8,500 to 17,000 unsold Section 106 homes across the country. These are affordable homes, often at social rent, that developers are required to provide to secure planning permission for their new developments. They are usually bought by registered providers.

The impact of these unsold homes is that housing developments across the country are being delayed and stalled, prompting the government under its new “emergency” plan to tell councils to attract buyers by converting homes into private sale or rent. But is this the solution the sector needs?

In a policy statement published in January, the Ministry of Housing, Communities and Local Government proposed a time-limited measure of encouraging councils to renegotiate planning obligations in cases where they have not been able to find a registered provider (RP) for the affordable homes.

To be eligible for the time-limited route, developers must list uncontracted Section 106 homes on Homes England’s clearing service website by 1 June 2026 to give a final opportunity for RPs to bid to purchase these properties.

When developers have exhausted all approaches to find an RP buyer, councils should use a deed of variation to change the Section 106 agreement and alter the tenure. Local authorities should consider affordable housing or discounted market tenures where possible, and if there is still no buyer then move to private market rent or sale.

Experts in the sector tell Inside Housing Living that low demand for Section 106 homes needed to be addressed.

Emily Williams, director of residential research at Savills, says that three years of struggle to find Section 106 buyers “has had a lot of knock-on impact[s]”.

This is “not just in terms of delaying sites, but also on developers’ ability to invest in bringing schemes through the pipeline. Particularly for smaller developers, if they haven’t got a clear route for the affordable [provision], they often aren’t able to get the funding even to do the land deal.”

Marcus Dixon, UK head of living and residential research at JLL, puts it even more strongly.

“Unsold and uncontracted Section 106 homes are causing a clear bottleneck in housing delivery,” he says. “On one hand, anything that helps to unblock challenges around housing delivery should be welcomed, but we need to address the reasons why this stock isn’t being absorbed at a time when our housing waiting list exceeds 1.3 million households.”

Rim Adem, director at CBRE, says: “By allowing councils to renegotiate tenure only where developers have genuinely exhausted all reasonable efforts and listed units on the Homes England clearing service, the policy introduces flexibility while keeping appropriate safeguards in place.”

The root problem

The government’s intervention might unclog the bottleneck, but many in the sector worry that it does nothing to address the root causes of why housing providers aren’t snapping up Section 106 homes.

“Housing associations have got other, more pressing uses for their capital at the moment,” says Olivia Harris, chief executive of housing charity Dolphin Living. “And then secondly, developers [aren’t] developing what housing associations want… the design of Section 106 housing [is] almost being an afterthought.”

She adds: “And then the other reason that we’ve come up against is the long-term running costs, [and] that can be partly a design issue.

“We’ve got a couple of examples where we were looking at buying Section 106 [homes] that were part of a very high-end development, and because it was a high-end development, service charges were really high, which meant that we didn’t have enough of a surplus.

“The surplus was really small, but also we weren’t controlling it, so we were just signing up to pay the service charge when we didn’t know what the service charge was going to be.”

“Unsold and uncontracted Section 106 homes are causing a clear bottleneck in housing delivery”

Mr Dixon agrees: “There’s a clear disconnect on perceived quality, specification and price between registered providers and house builders, which means even those who are in a position to take on stock are finding what is offered doesn’t align with their requirements or budgets.”

This comes as housing associations are facing high costs of debt, and pressure to spend more on their existing homes.

“And if government isn’t either helping to rebuild financial capacity through rent increases or putting more grant in, this is only going to be a stopgap measure,” Ms Williams says. “There are certainly, I think, more levers that could be pulled beyond this one announcement.”

“It remains vital that the long‑term purpose of affordable housing delivery via Section 106 agreements is protected,” Ms Adem adds.

“While these temporary measures are in effect, we expect the sector to continue nurturing solutions that enable the acquisition of Section 106 homes, especially in light of recent funding announcements aimed at increasing RP capacity.”

Developers

On the flip side of the coin, will the move be a benefit to developers?

Ms Williams tells Inside Housing Living that the decision will be “particularly appealing” to house builders – but with caution.

“You have to see how it’s going to play out in practice, and exactly how flexible local authorities will be, and what preferred form of other tenures they will accept,” she explains.

“We know that discounted market sale has been a popular option for house builders, so I think that would probably be particularly appealing to them. [But] most house builders wouldn’t want to be the landlord themselves, so they still need to find someone who is prepared to buy those rental homes and offer an affordable rent product – so that will still be a challenge.”

Ms Williams says another challenge will be the tight window of opportunity and timing.

“We haven’t been able to work out yet exactly how many schemes or homes are currently stuck because of the lack of Section 106 [sales],” she adds.

“The risk is that [the decision] helps for that limited period of time, but if financial capacity among the housing associations hasn’t picked up within the next year or two, we could just be running into the same problem again.”

Ms Harris says that switching the tenure of Section 106 homes could unlock other types of affordable housing beyond social housing.

“I think there is another affordable need which is recognised in planning policy – it’s recognised in the National Planning Policy Framework, it’s recognised in the London Plan, but it’s often not the focus of local authorities,” she says.

“We need to prove that other forms of affordable housing, in particular discounted market rent, intermediate rent and… London Living Rent… don’t work before we relinquish it as affordable housing in total.”

She adds: “The other thing about this is, if you had discounted market rent within a build-to-rent scheme – not always but on some occasions – that is run by someone that isn’t an RP. You [therefore] might have an opportunity to access different capital.”

Recommendations

So, how can the sector make the most of a flexible Section 106 provision to boost housebuilding?

Victoria Du Croz, partner and head of planning at law firm Forsters, says the “the devil will be in the detail”.

“Who will provide the final authority decreeing that no RP will ‘take’ these units, for example – over what time period and at what cost?” she asks.

“Will there be a middle ground whereby the developer must first attempt to convert unsold homes to other affordable tenures, or will they be delivered straight to market?

“And how will competing demands be met when evaluating developer viability against local authority mandates to deliver affordable housing at scale?”

Another challenge, she adds, will be calculating the extent to which developers may be required to make in lieu payments to councils that have very little resource to deliver affordable housing directly, leading to additional unspent developer contributions sitting with councils waiting for deployment.

“Most house builders wouldn’t want to be the landlord themselves, so they still need to find someone who is prepared to buy those rental homes and offer an affordable rent product”

Under the government’s plan, when Section 106 homes are converted to private sale, an equivalent form of affordable housing should be provided on an alternative site within the borough. Where this is not feasible, a financial payment should be made in lieu of on-site affordable housing.

“Finally, one might well ask whether these reforms go far enough in tackling the root issues around currently stalled sites; a clear legal requirement on local planning authorities may well be a welcome alternative to remove some of these ambiguities and ensure consistency across boroughs,” Ms Du Croz says.

Ms Williams says guidance to local authorities will be essential.

She adds: “Hopefully, there will be some support from central government to help local authorities and the planning officers work out what is the most effective way to make sure that there’s still a route for delivery of affordable [homes] – even if it’s not regulated, affordable – but affordable homes that meet the specific needs of each individual areas, because the requirements will be quite different depending on where you are around the country.”

Mr Dixon makes a similar point, saying: “If we’re serious about delivering more homes, we need to ensure that funding, legislation, specification and market confidence are aligned before activity across all tenures can increase.”

Blackstone-backed Sage Homes raises £550m in blockbuster refinancing deal

James Riding — Wed, 04 Mar 2026 17:21:23 GMT

Blackstone-backed affordable housing provider Sage Homes has completed a £546.5m refinancing deal.

Sage Homes’ latest commercial mortgage-backed securitisation (CMBS) transaction is believed to be the affordable housing sector’s biggest ever capital markets deal.

It is the fourth CMBS deal by the Blackstone and Regis-backed landlord since it first issued a CMBS bond on the Irish Stock Exchange in 2020.

The latest deal, originally reported by Inside Housing Living’s sister publication Social Housing, is backed by two loans secured on a portfolio of 3,885 social homes, which are valued at around £850m.

Excess funds will be used to help Sage, which owns and manages 17,500 homes via five for-profit registered providers, grow to meet its overall target to deliver 30,000 homes by 2030. The split between existing debt and new funding as part of the refinancing was not disclosed.

The CMBS issuance is a sustainability bond, and nearly all the homes Sage builds are rated Energy Performance Certificate A or B.

The CMBS’ rated notes were priced at an average of 142 bps over SONIA (sterling overnight index average), with a five-year term plus two one-year extensions.

Sage uses a developer entity, Sage Homes RP, to build new homes. Sage Homes RP has a large revolving credit facility that it uses to build homes and hold them in the short term before they are transferred to other Sage-owned providers, where long-term financing can be taken out against them.

Sage had already raised £583m through three CMBS deals since 2020 prior to the latest transaction. Last year Inside Housing Living revealed Sage’s second CMBS bond issuance, which was worth a total of £270m.

Sage Homes is currently England’s biggest for-profit affordable housing entity. It invested £353m in delivering 3,985 new affordable homes in 2024 and has delivered a total of 21,000 affordable homes since 2017, with a further 2,500 under construction.

Around 11,000 of Sage’s homes are affordable and social rent, with the remainder shared ownership. Most of its homes are purchased from house builders through Section 106 agreements, but it has also delivered around 4,100 ‘additionality’ homes, by buying non-Section 106 homes using grant from Homes England and the Greater London Authority.

Elizabeth Froude, who was previously boss of non-profit housing association Platform Housing Group, took over as Sage’s chief executive last month. Inside Housing interviewed Ms Froude in October about her career at Platform and plans for her new role at Sage.

Morgan Stanley and Deutsche Bank were the bookrunners for the latest CMBS deal. Savills conducted the valuation, while Situs Asset Management was the security trustee.

US investor and Canadian pension fund buy 788 suburban build-to-rent homes

James Riding — Tue, 03 Mar 2026 16:30:00 GMT

A US property investor and Canadian pension fund have bought 788 suburban build-to-rent homes for £300m.

Kennedy Wilson and Canada Pension Plan Investment Board forward-funded the homes through 10 separate transactions with house builders.

The 10 development sites are located in Northampton, Nottingham, Hemel Hempstead, Watford, Wokingham, Bristol, Cheltenham and Didcot.

Homes have been acquired from existing joint venture partners including Barratt Redrow, Miller Homes and Wavensmere, alongside new partners Persimmon Homes, Taylor Wimpey and Kier Property/Vistry.

The acquisitions bring Kennedy Wilson and CPP Investment’s UK housing platform to a total of 2,000 homes across 23 sites.

Over 300 homes have been built to date and are now either occupied or available for rent, with a further 800 homes expected to complete this year.

The latest deals are being financed by a previously announced £500m five-year debt facility from Goldman Sachs. Goldman Sachs will also provide a subscription facility to the partnership.

Since October 2024, the Kennedy Wilson and CPP Investments platform has secured £700m in commitments, including £500m in equity from CPP Investments.

Beverly Hills-headquartered Kennedy Wilson maintains a 10% stake and acts as the operator. The joint venture is currently progressing a pipeline of 1,000 units and aims to reach a 4,500-home portfolio.

Mike Pegler, president of Kennedy Wilson Europe, said: “These acquisitions deliver further growth for the joint venture in strategic locations in the UK where demand for rental housing is acute.

“We have established strong relationships with leading house builders and are already under offer on further units as we continue to scale the platform to our target of 4,500 homes.”

Tom Jackson, managing director and head of European real estate at CPP Investments, said: “Reaching 2,000 homes is a key milestone for our joint venture with Kennedy Wilson and our continued investment in this venture aligns with our real estate strategy, to undertake scalable investments in high-quality assets and deliver attractive risk-adjusted returns for the CPP fund.”

Investment volumes in suburban build-to-rent rose 56% year-on-year in 2025, according to CBRE, and activity in the subsector has continued into 2026.

Last month the UK’s largest local government pension scheme pool, Border to Coast Pensions Partnership, entered the suburban build-to-rent market in a £70m deal.

Meanwhile, in January US private equity giant Blackstone put its suburban build-to-rent business on sale for over £1bn.

Experts also told Inside Housing Living that US president Donald Trump’s proposal to ban institutional investors from buying suburban houses could “significantly boost investment” in the UK.

L&G’s for-profit provider completes 311-home deal from house builder

Zainab Hussain — Tue, 03 Mar 2026 12:30:00 GMT

Legal & General’s (L&G) for-profit registered provider has bought 311 homes from house builder Barratt London.

L&G Affordable Homes bought the homes at Barratt London’s Colindale Gardens development in Barnet, north London. It will also develop and manage them.

The homes have been acquired by L&G’s Affordable Housing Fund, launched in 2024, to provide societal benefit through new homes in England alongside stable, inflation-linked returns for institutional investors.

The deal is the latest between Barratt London and L&G, building on a longstanding relationship that has provided affordable homes across the capital.

The homes, completed in December, will be used for social rent to alleviate local affordable housing pressures.

Of the 311 homes, 158 are in addition to planning requirements to accelerate the supply of urgently needed affordable housing in London.

Colindale Gardens is located on the former Hendon Police College in Zone 4, within easy access of central London.

It is one of London’s largest regeneration projects and will provide 4,041 homes across the full development, including 1,200 affordable homes.

To date, 2,888 homes have been built across the site. It will also provide nine acres of landscaped green space including playgrounds and a park.

The wider development includes £11m upgrades to Colindale Underground station, which reopened in December after two years of improvement works, a primary and junior school, and mixed-use commercial space for shops, cafes and restaurants.

Colindale Gardens is a key component in the Colindale and Burnt Oak Opportunity Area, designated as part of the mayor’s London Plan to create more homes, jobs and improved infrastructure across the capital.

Across the Opportunity Area, there is potential for 7,000 homes and 2,000 jobs by 2041.

L&G Affordable Homes was established in 2018 to provide affordable housing options across the UK. L&G, a financial services group and global investor, has £1.1tn in total assets under management as of its 2025 half-year financial results.

Barratt London, part of Barratt Redrow, has over 40 years of experience in London, building up to 2,000 homes each year.

Ali Farrell, senior fund manager at L&G, said: “This scheme represents the single largest grant-enabled social rented affordable housing scheme delivered in London in the last 12 months, and will make a meaningful difference to local families in temporary accommodation and social housing waiting lists.”

Craig Carson, regional managing director at Barratt London, said: “This agreement exemplifies how home builders and private sector partners can work together with local government to provide the urgently required affordable homes and funding London needs.”

Last week, a joint venture between L&G, a Dutch investor and a UK pension fund bought a site in south London to develop a 700-home build-to-rent scheme.

In January, Dan Batterton, head of housing at L&G, told Inside Housing Living about how affordable housing is set to dominate L&G’s living sector investment strategy in 2026.

Prior to that, L&G Affordable Homes announced it will develop 122 homes in Lincolnshire with grant funding from Homes England. The for-profit registered provider had purchased land at Wainfleet Road in Boston, Lincolnshire to develop 85 homes for social rent and 37 for shared ownership.

We must explore housing partnerships with institutional funders, London council says

Ellie Brown — Tue, 03 Mar 2026 09:15:25 GMT

A London council has said it must explore partnerships with institutional funders to build more homes.

Camden Council has agreed to explore working with organisations such as pension or insurance funds to build homes following the recommendation of a housing delivery taskforce convened by the borough.

Among other recommendations, the report said Camden should focus on purpose-built student accommodation and co-living schemes, as these could help free up private rented homes.

Nasrine Djemai, cabinet member for new homes and community investment and co-chair of the taskforce, said the council has a “strong track record” of building homes but “we can’t do this alone”.

She added: “To accelerate delivery we must explore new partnerships, including institutional funders and enhance working across London and with national government.”

Camden’s housing delivery taskforce recommended that the borough explore working with institutional partners on development “as a priority”.

Members of the taskforce included former Labour MP Dame Karen Buck and representatives from developers Ballymore and Lateral and housing association Origin.

It was set up by the north London local authority in autumn 2025 to advise it on dealing with local housing pressures.

The group recommended the council use both private and registered social landlord partnerships so it can deliver new homes without making its Housing Revenue Account unsustainable.

It also suggested new ways the council should be working to secure low-cost, intermediate and temporary housing, including through joint ventures with registered providers (RPs), house builders and institutional investors.

The report also focused on the types of housing needed in Camden, and highlighted a drop in the number of families with children in the borough due to high housing costs and a shortage of larger affordable homes.

It suggested the council focus on intermediate rent, which is not always accessible to people who do not qualify for social rent but are priced out of private homes.

The group of experts said the council should work with the Greater London Authority to review the current £67,000 income cap on intermediate rents, as this is far below what households would need to afford to rent privately in the borough.

Purpose-built student accommodation and co-living housing were also flagged as areas to focus on, as these could help free up private rented homes.

The taskforce also suggested acquisitions could also be used to boost affordable housing supply in Camden.

It urged the council to monitor where private landlords are quitting the sector or moving to short-term lets, agree criteria for buying these and expand the number of homes it lets at or below Local Housing Allowance level to increase the supply of temporary accommodation.

Other recommendations in this area included putting in measures to bring forward more small sites and cracking down on short-term and holiday lets, which are placing “growing pressure” on the amount of available housing.

On the latter, the group suggested the council should work with RPs, private landlords and short-term letting platforms to create a borough-wide approach which could be rolled out more widely across the capital.

It added that Camden should look into improving rightsizing options for social tenants who are older or under-occupying their homes, which may include working with RPs, adult social care and health groups.

Ms Djemai said: “Camden is at the sharp end of London’s housing crisis, with rising homelessness and growing temporary accommodation pressures continuing to affect residents and council services.

“One in 50 Londoners are currently in temporary accommodation and in Camden there are over 8,000 people on our housing waiting list, with 70% of families in council homes living in overcrowded conditions.

“We must take action to urgently build more high-quality, affordable housing and address the ongoing housing crisis in Camden and across London.

“That’s why I called for the Housing Delivery Taskforce to be commissioned, to bring together the expertise, ideas and partnerships we need to deliver more of the right homes for our residents and support the thousands of residents in housing need.”

Camden Council, which owns around 22,800 homes, completed 169 homes last financial year and is forecasting that it will build 1,100 homes within the next five years.

Timber-frame co-living scheme approved in Southwark

James Riding — Fri, 27 Feb 2026 16:00:00 GMT

Plans for a timber-frame co-living scheme have been approved in Southwark, south London.

London-based developer Bywater has secured planning permission for a scheme in Tanner Street, Bermondsey, containing 112 studio flats.

The six-storey scheme includes communal areas, a rooftop terrace and an urban greening plan to improve biodiversity.

The project was designed by architects Ackroyd Lowrie and has a projected gross development value of £65m. Completion is expected in 2028.

It is Bywater’s first residential project. The developer acquired the site in 2024 from Cetza Trustees. The previous owner received planning permission in 2019 to build an office there.

Planning documents reveal that Bywater opted to rework the scheme into a co-living development due to the high number of office schemes already under construction in Southwark, and because the site was considered too small to support traditional housing.

The plans will retain the facade of an existing, locally listed Victorian warehouse on the site, which dates to the late 19th century.

Chris Riley, development manager at Bywater, said: “This milestone enables us to bring forward a carefully designed, best in class, low‑carbon scheme that raises the bar for sustainable urban living in Bermondsey.”

He added in a post on LinkedIn that the project was the first of a number of living schemes Bywater is bringing forward in Southwark.

Research published earlier this month found that over 10,000 co-living homes are now in London’s planning pipeline.

A total of 26 applications for co-living schemes of 30 homes or more were submitted to London boroughs in 2025, totalling more than 10,000 co-living homes, according to planning consultants Lichfields.

This equates to over 40% of all co-living applications submitted in the capital since 2018, reflecting a surge in developer interest in the shared living tenure.

Over 75% of London boroughs have now seen at least one co-living application, up from half in June 2024.

Unite Group cuts rents and lowers profit outlook as number of international students fall

James Riding — Thu, 26 Feb 2026 11:30:00 GMT

Giant student accommodation provider Unite Group has lowered its profit outlook for the third time in four months and cut rents in some cities amid a fall in the number of international students coming to the UK.

Karan Khanna, chief operating officer at Unite Group, revealed that the student landlord has cut rents and the length of tenancies from 51 weeks to 44 weeks in cities such as Nottingham, Leicester and Sheffield due to weaker demand.

The provider is making similar changes in other schemes in Bristol and Edinburgh, he added.

Just 68% of its beds are reserved for the next academic year from September, prompting Unite to focus on owning and managing accommodation in cities with “higher-tariff” universities, meaning those that require the highest grades from students for entry.

The landlord said it would focus on building on-campus schemes and joint ventures with universities after the completion of Hawthorne House, a 719-bed scheme in Stratford, east London, expected in June, and Central Quay, a 934-bed project in Glasgow, expected in 2027.

Unite is also stepping up disposals and cost-cutting measures. It announced the £186m sale of St Pancras Way, a 571-bed scheme in London, to the Unite UK Student Accommodation Fund, its joint venture with Singaporean sovereign wealth fund GIC.

The giant student landlord revealed rent cuts alongside its results for 2025. It reported a post-tax profit of £97.6m for the year to December 2025, down from £441.8m in 2024.

Rental income rose 9% to £307.7m, but this was offset by £72.3m in net valuation losses on property owned and under development. Net finance costs also rose to £37m, up 147% from the year before.

Unite, which last summer acquired rival provider 7,700-bed Empiric Student Property, warned that it would deliver occupancy and rental growth towards the lower end of its guidance ranges, 93% to 96% and 2% to 3% respectively, in the 2026-27 academic year.

This will translate into like-for-like income growth of 0% to 2%, down from 0% to 4%. The company is aiming for between £300m and £400m of property sales annually, starting this year.

As a developer, Unite recently cancelled a £147m project for 605 beds in Paddington in London and deferred the 500-bed Freestone Island scheme in Bristol, citing viability issues.

It said that for new schemes to be viable, they now require minimum rents of around £230 per week, while Building Safety Act gateways have been delaying delivery programmes by between six and 12 months.

It is exploring “all options” for the land it owns – sites for an additional 2,400 beds – including selling them and joint ventures.

Unite is the UK’s largest owner, manager and developer of purpose-built student accommodation, with 143 properties across 22 towns and cities.

Joe Lister, chief executive of Unite Students, said: “Growing domestic demand for higher education, improving international mobility and constrained housing supply underpin the long-term prospects for the sector.”

He added: “We have started to deliver on the strategic plan set out at the end of 2025, focusing on closer alignment to the strongest universities, building on our university partnerships and taking decisive action on costs.”

L&G joint venture buys Lambeth Hospital site to deliver 700 build-to-rent homes

James Riding — Thu, 26 Feb 2026 11:00:00 GMT

A joint venture between Legal & General (L&G), a Dutch investor and a UK pension fund has bought a site in south London to develop a 700-home build-to-rent (BTR) scheme.

L&G, PGGM and Nest have acquired the Lambeth Hospital site from the NHS to build a £350m development, including private housing and homes for social rent.

The acquisition was made through the Access Development Partnership, L&G’s joint venture with PGGM and Nest.

The six-acre brownfield site sits between Clapham, Stockwell and Brixton. The South London and Maudsley NHS Foundation Trust had been working on a masterplan for Lambeth Hospital since 2019 and planning permission to redevelop the site was approved in December 2021.

L&G said it expects to consult on “modest refinements” to the existing plans, which were designed by ESA Architecture and include nine buildings varying from three to 18 storeys in height.

L&G said that “large, well‑capitalised brownfield schemes that can deliver through cycles” are “critical to stabilising supply” in London, where the number of construction starts for new homes is at the lowest since 2010.

It is the Access Development Partnership’s second acquisition in the UK within a year, following a brownfield site in Deansgate, Manchester, which will be developed into a 494-home BTR tower.

Proceeds from the NHS land sale are intended to be reinvested into modern healthcare facilities, including the New Douglas Bennett House at Denmark Hill, a purpose‑built home for services currently at Lambeth Hospital, supporting improved mental health services, therapeutic environments, and a better experience for patients, carers and staff.

The masterplan aims to deliver affordable housing alongside private rental homes, with new resident amenities and public realm. It is expected to include co‑working areas, a residents’ lounge and gym.

The scheme is expected to pursue an all‑electric design and will be operated by L&G on completion. The site is the 26th acquisition in L&G’s BTR portfolio.

Dan Batterton, head of housing at L&G, said: “The redevelopment of the Lambeth Hospital site is a flagship example of the power of pension capital to address the chronic lack of housing supply by delivering large-scale schemes in the areas that need them most, while also meeting the investment needs of our pension fund clients.

“Underpinned by long‑dated institutional capital, L&G is able to look beyond short‑term market cycles and commit to multi‑phase regeneration, giving partners and local authorities confidence in delivery at scale over the longer term.

L&G has deployed over £4bn of capital into the UK BTR sector and delivered 10,000 homes, including 2,000 in London.

Last month, Inside Housing Living interviewed Mr Batterton about his plans to scale L&G’s housing portfolio to £10bn in assets under management by 2030.

Jane Bailey, chair of the South London and Maudsley NHS Foundation Trust, said: “This is incredibly good news that will mean a host of benefits for not only the provision of mental health services locally but also the wider community.”

Dirk Bootsma, senior director, private real estate at PGGM, said: “This underlines our commitment to deliver strong financial returns for the participants of our client pension fund Zorg en Welzijn (PFZW). We see the social value of realising new high-quality rental housing as an additional benefit that fits with the investment philosophy of PFZW.”

Matthew Forward, senior investment manager, real estate at Nest, said: “The scheme will support the provision of affordable homes for social rent, helping to encourage a broader mix of housing in Lambeth.”

John Lewis Partnership pulls plug on build-to-rent business, citing economic woes

James Riding — Thu, 26 Feb 2026 10:20:00 GMT

The John Lewis Partnership has said it is withdrawing from its build-to-rent property business, citing a shift in economic conditions since it launched the venture in 2020.

The group said it was pulling the plug on its residential business to refocus on its core retail brands, John Lewis and Waitrose.

John Lewis’ build-to-rent platform was led by Katherine Russell and had secured planning consents for around 1,000 homes in London and Berkshire, including schemes in West Ealing, Bromley and Reading.

The Bromley scheme was the local authority’s first build-to-rent consent and would have been the tallest building in the borough.

John Lewis had also amassed an operating portfolio of 1,000 homes. It took on management of four Aberdeen-owned buildings in Leeds, Leicester, Birmingham and Stratford, previously managed by JLL.

The retailer said it will fulfil its existing management contracts at all four sites as part of its transition out of the business.

In its most recent accounts, BTR (Operating) Limited, the operating company for the John Lewis Partnership’s build-to-rent sites, reported a post-tax loss of £280,000 over the 12 months to January 2025.

John Lewis noted that the build-to-rent sector has come under “sustained viability pressure” in recent years as rising interest rates have pushed up borrowing costs for developers.

Construction cost inflation stood at 4.4% as of October 2025, while labour costs are up 7.1% year-on-year, according to the Building Cost Information Service.

The retailer also cited data from Molior, the British Property Federation and Savills, which found that annual build-to-rent absorption in London has fallen 72% since 2022, from 7,744 homes to 2,190.

It said that the forward-funding model, the traditional mechanism for financing large build-to-rent schemes, has “effectively ceased” in London, while the Renters’ Rights Act, which takes effect on 1 May, has “added a further layer of uncertainty” for institutional investors.

A John Lewis Partnership spokesperson said: “Our rental property ambition was based on a very different financial environment: one with more stable investment returns, lower borrowing costs and more affordable costs to build homes.

“Unfortunately, the current climate – higher interest rates, inflationary pressures and a more cautious property market – has meant the model no longer meets the partnership’s investment criteria.”

The spokesperson added: “We’re proud of what we’ve achieved in terms of progress with three planning applications and managing third-party build-to-rent homes for residents to a high standard.”

John Lewis announced its move into the build-to-rent market in 2020. It pledged to invest £500m in rental homes via a partnership with investment giant Aberdeen to build 1,000 homes by redeveloping its department store sites.

Sharon White, chair of the retailer at the time, said her aim was to generate 40% of John Lewis’ profits from housing by 2030.

Brendan Geraghty, chief executive of the Association for Rental Living, said: “This is deeply disappointing news and a real loss for consumers.”

He continued: “What has made this venture unworkable is a set of conditions entirely outside its control: borrowing costs that have roughly doubled since 2021, construction cost inflation that continues to outstrip general prices, an unwieldy planning system that has added years to delivery timescales, and the introduction of legislation – the Building Safety Act and particularly the Renters’ Rights Act – that has made it materially harder for investors to underwrite the predictable income growth that rental housing requires.”

Mr Geraghty added: “When a brand as well-known and well-resourced as John Lewis concludes that the economics no longer work, ministers need to sit up and think very carefully about how they respond.”

Why Pluto Finance is focusing on SME developers

Denise Chevin — Thu, 26 Feb 2026 07:00:00 GMT

Justin Faiz, chief executive of Pluto Finance, talks to Denise Chevin about why the lender is focused on SME house builders – and why it offers better terms for Energy Performance Certificate A-rated homes

Pluto Finance

Size of fund/lending: £4bn
Supporting: 14,000 mid-market homes for sale and rent

At a time when many small and medium-sized enterprise (SME) house builders warn that accessing finance has become one of their biggest existential threats, Pluto Finance has positioned itself firmly as the lender prepared to back them – and do so at scale.

Since launching in 2011, the specialist development financier has lent more than £4bn and helped to deliver around 14,000 homes, with chief executive and co-founder Justin Faiz insisting that supporting SME developers is essential if Britain is ever to fix its housing shortfall.

“The bulk of our track record on lending is in the UK, and the average value of one of those homes is slightly under £300,000. These are mid-market homes for ordinary people, which is what the UK is so tremendously short of,” he says.

Pluto Finance lends to different types of developers, including housing associations. But borrowers are overwhelmingly SMEs – the very group many say has been squeezed hardest in recent years. SME builders developed just 10% of new homes in 2020, down sharply from 39% in 1988, according to Savills.

“They used to be the backbone of UK housing delivery,” Mr Faiz says. “But they’ve had a variety of issues, one of which is access to finance.” And that, he believes, is where Pluto can make the greatest difference.

“We’re not a bank, but borrowers see us as they would see a bank,” he explains. “We provide broadly similar terms – but we’re more flexible. We can often lend a little more, and be cheaper and quicker.”

Why SMEs matter more than ever

Pluto believes it understands how to price and manage development risk where banks increasingly do not.

“We’ve developed an expert team – 30 people only doing this,” Mr Faiz says. “We’ve done over £4bn worth of lending and we know how to underwrite that risk.”

Yet he is clear about the challenges.

“At the top of my risk register are the headwinds facing SME house builders,” he says. “It is tough times for them... they need all of the policy support they can get.”

Society benefits when they are supported, he argues, through better design, more thoughtful schemes and regeneration of places others overlook.

Pluto Finance is not regulated as a bank and cannot take deposits, but instead manages long-term funding from some of the world’s largest institutional investors, including big names such as Blackstone, and pension and insurance companies. It is part-owned by the Universities Superannuation Scheme and also has Treasury backing.

In January, Blackstone Real Estate Debt Strategies and Pluto Finance’s European mid-market lending partnership announced that it had completed its debut transaction. This was to provide a £30m loan to N&W Capital to buy its first residential investment in Ireland.

Pluto Finance typically has between 70 and 80 live loans at any given time and has built what Mr Faiz describes as a uniquely comprehensive footprint for a non-bank lender.

“We’ve built out a team that covers the whole of the UK,” he says. “We’ve got lending directors in Scotland, Wales, the North, South West and South East – every region is covered.”

Despite subdued market conditions, Mr Faiz reports resilience. “Houses and apartments we have financed are selling broadly at the paces and levels we expect,” he says.

“That reflects our focus on projects where we know demand is strong.” Around 65% of Pluto’s lending is to repeat borrowers, something he sees as a strong credit indicator.

Currently, about 65% of Pluto’s portfolio supports homes for sale and 35% for rent. Of the properties, 60% are apartments – mostly low rise – and the rest are houses.

Developer secures £116.6m loan to build London student scheme

Zainab Hussain — Tue, 24 Feb 2026 17:00:00 GMT

A developer and operator has secured a £116.6m development loan to build a purpose-built student accommodation (PBSA) scheme in north-west London.

YourTRIBE secured the funding from Maslow Capital to build a 609-bed PBSA scheme at Watkin Road in Wembley.

The scheme will comprise three blocks, rising up to 27 storeys.

It will contain commercial space and amenity spaces arranged across multiple levels including a concierge, co-working facilities, resident lounges, gym, cinema, podcast studio, games room and private dining areas.

The scheme is currently under construction, with HG Construction as the main contractor, after it received Gateway 2 approval from the Building Safety Regulator at the end of last year.

It is expected to complete in summer 2028.

This is the second transaction between YourTRIBE and Maslow Capital, following the completion of £114m in development financing to fund two PBSA schemes in Walthamstow and Greenwich.

The transactions take Maslow Capital’s total lending to YourTRIBE to £230.6m, providing 1,247 PBSA beds across three London schemes.

Maslow Capital is part of the Arrow Global Group, a European asset manager specialising in credit and real estate.

Maslow Capital has funded over £10bn of real estate projects, and its financing ranges from £300,000 to £750m in the UK.

In December last year, Watkin Jones, in a joint venture with Maslow Capital, bought a site in Bristol to build a 484-bed PBSA scheme with a gross development value of £101.7m. This was the second deal in their partnership, following The Ard scheme in Glasgow.

Developer Definition Capital also secured a £122m loan from Maslow Capital last year to build a mixed-use scheme including 487 co-living homes in south-east London.

The scheme is expected to contribute to the ongoing regeneration of Abbey Wood and Thamesmead, a neighbourhood that has been identified as an Opportunity Area in the mayor’s London Plan, with capacity for 8,000 new homes and 4,000 jobs. Debt advisor Mantra Commercial advised on the loan.

Last summer, student landlord Fusion Group secured a £500m development loan from Maslow Capital to build 3,138 purpose-built beds across five new schemes in Birmingham, London, Loughborough, Glasgow and Cardiff. The debt package was one of the largest ever single-lender deals arranged for UK PBSA.

Developer secures £18.8m funding for Glasgow student housing scheme

Zainab Hussain — Mon, 23 Feb 2026 16:45:00 GMT

A developer has secured an £18.8m development facility to build a purpose-built student accommodation (PBSA) scheme in Glasgow’s West End.

Kelvin Properties secured the loan from Bank of Scotland to fund the construction of its first PBSA scheme, located on Queen Margaret Drive.

The scheme, designed by Cooper Cromar, will contain 134 studios.

It will also contain a gym, media lounge, group study areas and a sky kitchen. There will also be biodiversity rooftop terraces, a reception and cycle spaces.

The scheme will be fewer than 10 minutes away from the University of Glasgow by bike or bus, and it will have further transport links.

It is currently under construction by main contractor CCG, with completion scheduled ahead of the 2027-28 academic year.

Once the scheme has completed, it will be operated by True Student. The site initially held planning consent for a residential scheme granted in 2022.

But following a strategic review of market demand, Kelvin Properties submitted a revised planning application for a PBSA scheme to meet the demands of international and postgraduate students, which was approved in 2024.

According to Kelvin Properties, demand for PBSA schemes has continued to grow across the UK, driven by rising numbers of domestic and international students seeking housing close to universities.

For students, PBSA schemes offer benefits including contemporary, self-contained apartments, access to shared social spaces and study facilities, 24-hour security and management and prime locations near universities and major transport links.

For investors and developers, PBSA schemes provide stable, resilient income streams, strong demand in high-growth university cities and fully managed, high-performing properties.

“Securing development finance in the current environment reflects confidence in both the project and the wider Glasgow market,” Stephen McKechnie, founder of Kelvin Properties, said.

“We undertook a review of the Glasgow market before repositioning the site and the fundamentals were clear.

“There is real need for more student housing as student numbers have continued to grow, particularly among the international and postgraduate cohorts, while supply remains constrained in key locations like Glasgow’s West End.”

Graeme Steel, relationship director for real estate and housing at Bank of Scotland, said: “PBSA remains a resilient and important sector, helping to meet growing demand, support the city’s universities and ease pressure on the wider housing market.”

Last week, a report by Knight Frank found that investors committed £4.3bn to the PBSA market in 2025, just shy of the 10-year average of £4.5bn. It also found that investors had spent nearly £880m on UK PBSA in the final quarter of 2025.

A total of 50,250 PBSA beds were under construction across the UK, with the largest numbers in London at 14,600, Bristol at 5,000, Glasgow at 4,300, Coventry at 3,600 and Manchester at 3,500. Together, this accounted for 62% of all development activity across the UK.

According to UCAS data, for the 2025-26 academic cycle, the number of undergraduate students accepted onto university courses in the UK went up by 2.3% year-on-year, totalling 577,725 students.

Bristol City Council to allow developers to renegotiate affordable housing to combat viability pressures

Zainab Hussain — Mon, 23 Feb 2026 15:45:00 GMT

Bristol City Council has said it will allow developers to renegotiate the affordable housing provision on sites with planning consent to combat viability pressures.

The city council has published a new ‘viability addendum’ to its affordable housing policy, which allows developers to reopen discussions over affordable housing provision to help consented schemes struggling with cost pressures.

The local authority said that it would be willing to explore the use of affordable housing subsidy in some or all of the subsidy-free provision, to maintain the delivery of affordable homes.

‘Subsidy-free’ refers to the homes delivered through Section 106 purely at the developer’s cost, and without the use of Homes England or other affordable housing grants.

The council acknowledged that the cost of housebuilding in Bristol has “escalated significantly” since 2022, because of costs associated with construction, labour and meeting new building safety regulations.

Costs have been compounded by the nature of constrained brownfield sites in Bristol, while viability has been challenged by a housing market where values have stagnated.

Sites, whether on privately owned or council-owned land, will have to meet a set criteria for their level of affordable housing subsidy to be reconsidered.

They will have to be located within the city centre zone with full planning permission, and subject to a Section 106 agreement requiring the provision of subsidy-free affordable housing delivery for social rent or shared ownership.

Planning permission outside of the city centre zone may be considered as an exception where the developer is also promoting additional funded delivery of affordable housing with a registered provider, resulting in more affordable housing than it had secured at the planning permission stage.

A Section 73 application will be required to amend the original consent. The council will then assess the viability appraisal submitted with the Section 73 application, and the applicant will be required to meet the costs.

If this results in a revised level of subsidy-free affordable housing, a new Section 106 agreement will be required.

Where subsidy is granted, the registered provider partner will have to be included in finalising the Section 106 agreement.

In cases where not enough subsidy-free affordable housing can be provided because of viability, and subsidy will need to be introduced, the design and internal layout of the scheme may have to be amended, including reducing the height of the building or its number of homes.

The council cited housing secretary Steve Reed, who has committed to implementing a new route to vary planning permissions through Section 73.

Bristol City Council’s policy change will run until a full update of its practice note is published.

Last year, the council committed to working with developers and registered providers to maximise housebuilding in its interim affordable housing delivery plan.

Andrew Brown, chair of the Economy and Skills Committee, said: “Bristol City Council recognises the importance of our planning policy framework when it comes to ensuring developers are meeting their requirements around affordable housing delivery.

“However, where costs are starting to stall sites or prevent us from building the maximum number of homes achievable we want to take a pragmatic view of the balance between subsidy-free and grant-funded affordable homes, recognising the challenges for developers in the city around viability.

“The viability addendum to the council’s Affordable Housing Practice Note gives us the scope to do this.”

Last month, Unite Students revealed in a trading update that it had delayed a student accommodation scheme in Bristol while it explores options to secure best value from the project.

In December, a Malaysian developer secured a loan to build a 1,514-bed purpose-built student accommodation scheme in Bristol. The scheme will comprise 1,514 beds across four blocks, with completion targeted for autumn 2027.

Plans in for 520-bed student scheme in Bethnal Green

Zainab Hussain — Fri, 20 Feb 2026 17:00:00 GMT

A developer has submitted a planning application to build a 520-bed purpose-built student accommodation (PBSA) scheme in Bethnal Green, east London.

Telford Living, the UK residential development arm of Trammell Crow Company (TCC), submitted the planning application for the student scheme to the London Borough of Tower Hamlets.

The proposed scheme will be on a brownfield site on Cambridge Heath Road, which is currently home to the LEB Building.

It will be located 100 metres from Bethnal Green Underground station and within a short walk of both Queen Mary University of London campuses.

There will also be ground floor community and affordable retail spaces.

Telford Living’s projects include build-to-rent, PBSA and co-living schemes. Its pipeline is in excess of 2,500 homes.

TCC, founded in 1948, is a wholly owned subsidiary of CBRE Group. The US firm has developed or acquired 3,000 buildings valued at $90bn (£67bn). As of December last year, TCC had $19.4bn (£14bn) of projects in process and $10.1bn (£7.5bn) in its pipeline.

Alex Taylor, senior vice president for development investment at TCC and head of Telford Living, said: “There is a well-evidenced need for dedicated student accommodation in this area of Tower Hamlets, which is particularly close to major universities and transport connections.

“Our plans for 520 high-quality PBSA units will directly address this demand while delivering a thoughtfully designed building that integrates positively with the surrounding area and brings wider regeneration benefits to the local community.”

This week, a report by Knight Frank found that investors committed £4.3bn to the PBSA market in 2025, just shy of the 10-year average of £4.5bn.

London also had the highest number of new beds built at 4,350, followed by Nottingham at 2,550 and Leeds at 1,900.

Last month, planning documents revealed that developer Scape is aiming to build the world’s tallest student tower in south London. The developer intends to submit a planning application to the London Borough of Southwark to build the tower on 229-235 Southwark Bridge Road.

The scheme would comprise 850 student beds within a tower up to 48 storeys (or 160 metres) tall, making it the world’s tallest student accommodation building. It would also include 400 square metres of non-residential space.

Developer secures £20m funding for Exeter co-living scheme

Zainab Hussain — Fri, 20 Feb 2026 10:30:00 GMT

A developer has secured a £20m loan to build a co-living scheme in Exeter City Centre.

McLaren Property has secured a £20m loan provided by Puma Property Finance to build a 145-studio co-living scheme in Exeter City Centre.

This is the first partnership between McLaren Property and Puma Property Finance.

The scheme, which will be in Summerland Street to the northeast of Exeter City Centre, will have five storeys.

It will also have amenities including co-working areas, lounges, a content room, a snug, private dining, a gym and wellness studios, as well as a rooftop terrace with kitchen diner.

The scheme will accommodate a variety of residents, including private renters and key workers. Approximately 20% of the affordable provision will be prioritised for key workers.

Sustainability measures will also target an Energy Performance Certificate (EPC) A rating and a Building Research Establishment Environmental Assessment Method (BREEAM) ‘excellent’ rating, through installed photovoltaic panels, air-source heat pumps, mechanical ventilation with heat recovery and 74 cycle spaces.

Construction is expected to begin in early 2026.

McLaren Property specialises in developing purpose-built student accommodation (PBSA) and mixed-use commercial developments, with £1.5bn in development and 8,300 beds.

Its projects are in London, Birmingham, Liverpool, Oxford, Cambridge, Bristol, Brighton and Bournemouth – with plans to invest in other UK cities.

McLaren Property, Living and Regeneration have a combined pipeline of £4.8bn across 41 sites, totalling 17,500 homes.

Puma Property Finance provides funding to property professionals in the UK, with a track record in supporting the living sectors. The loans it provides range from £10m to £100m, with the potential to lend more by exception.

Oliver Westray, development director at McLaren Property, said: “Exeter is a compelling market for high-quality co-living, and this development will deliver a sustainable, amenity-rich product that meets the needs of today’s renters.

“We look forward to delivering the scheme together and to building a strong relationship with Puma going forward.”

Earlier this month, an analysis found that more than 10,000 co-living homes are now in London’s planning pipeline, signalling that the nascent rental tenure has entered a “more established phase”. The research showed that a total of 26 applications for co-living schemes of 30 homes or more were submitted to London boroughs in 2025, totalling more than 10,000 co-living homes.

In January, plans were submitted for Bath’s first wholly co-living scheme, with 272 homes located to the west of the city centre.

Report finds investors committed £4.3bn to student housing market in 2025

Zainab Hussain — Thu, 19 Feb 2026 11:38:06 GMT

A report by Knight Frank has found that investors committed £4.3bn to the purpose-built student accommodation (PBSA) market in 2025, just shy of the 10-year average of £4.5bn.

The report found that investors had spent nearly £880m on UK PBSA in the final quarter of 2025.

This took the annual investment to £4.3bn – up 10% year-on-year and just shy of the 10-year average of £4.5bn.

The report also found that there were 79 deals completed in 2025 – 20% more than the previous year.

However, there were misalignments between vendor and purchaser pricing expectations, which in some cases prolonged deal times.

Investor appetite was strongest for first-generation existing developments, particularly where there was potential to create value-add returns.

Challenges included a second consecutive weaker leasing cycle for the 2025-26 academic year, a 10-year gilt environment of around 4.5%, and share price declines among publicly listed sector participants, such as Unite Group falling roughly 30% in the second half of 2025.

A total of 37 single schemes were sold, accounting for the largest share of investor activity in 2025 and consistent with long-term trends.

In total, 13 portfolios were traded, including five that transacted for more than £200m.

Funding deals and joint ventures accounted for 16 of the 79 total transactions, while land sales dropped to 13 transactions. A tougher development landscape affecting investment was driven by significant Gateway 2 approval delays at the Building Safety Regulator, alongside planning and viability challenges.

London had the highest number of new beds built at 4,350, followed by Nottingham at 2,550, and Leeds at 1,900.

The private sector accounted for 90% of all new beds completed last year, playing the leading role in providing new accommodation for students.

A total of 50,250 PBSA beds were under construction across the UK, with the largest numbers including in London at 14,600, Bristol at 5,000, Glasgow at 4,300, Coventry at 3,600 and Manchester at 3,500. Together, this accounted for 62% of all development activity across the UK.

According to UCAS data, for the 2025-26 academic cycle, the number of undergraduate students accepted onto university courses in the UK went up by 2.3% year-on-year, totalling to 577,725 students.

The number of international student acceptances climbed nearly 8% in the year, while domestic student numbers were up 2%.

Accepted applicants to Russell Group universities rose by 9% in 2025 and are up 18% since 2023. International student acceptances at Russell Group universities increased 11% year-on-year and 14% since 2023.

For the 2026-27 academic year, 619,360 applications were made to UK universities – up 3% from last year.

Domestic students made up 494,540 of these applications, up 3% year-on-year. International students accounted for 124,830 of these applications, up 5% year-on-year.

A total of 43% of all UK undergraduate applications were for higher tariff universities, compared to 39% in 2019.

Applications from Chinese students went up 10% from last year, equivalent to an increase of 3,220 applicants. This shines a light on the growing reliance on China as an international student market; it now accounts for 28% of all international applicants, compared to 15% in 2019.

But applications from students intending to live at home for the upcoming academic year rose to 33%, raising wider affordability concerns and fitting with the rise of the commuter student in some locations.

Following the visa dependent rule change in January 2024, international postgraduate numbers fell by 11% year-on-year in 2024-25.

For the same year, the largest non-UK postgraduate markets included India at 97,394, which fell by 16%; China at 79,772, which fell by 4%; and Pakistan at 30,696, which rose by 5%.

The number of postgraduate students from Nepal in the 2024-25 academic year increased by 50% year-on-year to just over 7,000. This is largely linked to changes in international visa policy in competing postgraduate destinations, including Australia and Canada.

Mid-tier universities stand to gain the most as the UK government has confirmed that it will join the Erasmus+ student exchange programme in 2027. The deal allows students to study or work in the UK or Europe for two to 12 months without extra tuition fees, reversing the post-Brexit suspension.

At the programme’s peak, approximately 17,900 students came to the UK and 9,500 left, leaving a net positive figure of around 8,400 students in the UK requiring accommodation.

Given the shorter duration of Erasmus+ exchanges compared with full-degree enrolments, the financial impact is expected to be limited.

The report also said that the private direct-let PBSA market remains highly concentrated, with around 40% of schemes controlled by just nine investors and the remainder fragmented and fiercely competitive for scale.

In 2026, it is expected that investment will chase expansion. This will be focused on plug-and-play ability across platforms; composition strength with a preference for 100% Russell Group exposure and manageable scheme sizes of 400-500 beds; middle-market product offering, appealing to both domestic and international students; and risk-adjusted returns.

Change in grant rules will boost for-profit providers, Homes England director says

Eliza Parr — Thu, 19 Feb 2026 10:35:56 GMT

Changes to grant funding rules will give for-profit registered providers a “welcome boost”, the director of the government’s affordable homes programme has said.

Shahi Islam, director of affordable housing at Homes England, said the agency has tweaked the new 10-year Social and Affordable Homes Programme to help for-profit providers with cashflow and “account for lessons learned from previous programmes”.

The new programme, which opens for bids on 24 February, will no longer differentiate between strategic partners that are for-profit or not-for-profit. This impacts the grant repayment mechanism and working with delivery partners.

Speaking to Inside Housing ahead of the programme opening for bids on 24 February, Mr Islam said for-profits now “have the same parity in being able to draw down against expenditure incurred”.

“So it is a welcome boost, because I think… in terms of cashflow support, it’s much better for them,” he added.

Ms Islam said the rule change has received good feedback from for-profit providers, which previously warned of being held back by a “two-tier” approach on grant funding.

From April 2026, for-profit providers will be able to notify Homes England of disposals on a quarterly, retrospective basis.

In a statement, Homes England said: “We have removed differences specified by status as a for-profit or not-for-profit that were in place under the previous programme. This particularly impacts the payment mechanism and working with delivery partners (eg payment on incurred expenditure).

“We are also pleased to confirm that the ‘onward sale’ concept will no longer apply. Instead, all disposals will be managed consistently through the disposal notification process.”

Mr Islam said the changes are part of an “evolution” of the strategic partnership model, which opened to for-profit providers in 2021.

“We have the lessons learned around how we engaged with those for-profit partners to be able to apply further parities with the not-for-profits in this programme,” he said.

Homes England is also looking at “more extensive” changes to its capital funding guidance, Mr Islam said, based on feedback from the sector on “parity around the uplift rules when it comes to recovery of grant” and shared ownership staircasing transactions.

Currently in shared ownership staircasing transactions, all partners need to recover some of the grant, but for-profits also have to recycle or recover the associated uplift value, Mr Islam explained.

This leads to “uncertainty” among for-profits and investors, he said, because uplifts are applied based on market values at the time, so the “forecast of returns… becomes very unpredictable”.

Mr Islam continued: “We’re trying to understand whether the calculator can be amended to manage some of that uncertainty.

“So we’re not going to get rid of uplift as a concept, but… we can potentially look at our current rules – can they be more flexible? Can they be more amenable in terms of giving the investor more confidence in investing in shared ownership homes?”

“We are talking to a lot of our for-profit partners to understand that in a bit more detail… If we do make any changes, they won’t be immediate. They’ll be delivered through the development of the next financial year,” he added.

Full series of investor interviews available to read now on Inside Housing Living

James Riding — Fri, 20 Feb 2026 11:22:34 GMT

An exclusive series of investor interviews is available to read now on Inside Housing Living.

Inside Housing Living subscribers can access the interviews with top private investors in rental housing from a new landing page here.

The in-depth interviews were conducted by Denise Chevin in the start of 2026. Each piece explores what is attracting private capital to UK rental homes.

Seven interviews are available to read now:

Man Group’s Shamez Alibhai
Octopus Capital’s Jack Burnham
Thriving Investments’ Cath Webster
Venn’s Oriane Auzanneau
Legal & General’s Dan Batterton
Aberdeen’s Robert McDonnell
Oxford Properties’ Lee Coward

An eighth interview with Justin Faiz of Pluto Finance will complete the series in the coming weeks.

The interviews offer a detailed rundown of opportunities, challenges, pipelines and policy affecting the UK living sector in 2026.

Read the investor interviews series here.