Inland Homes launches partner hunt for £800m resi schemes
Inland Homes has kicked off a search for a build-to-rent partner for three major residential schemes in and around London, consisting of 3,000 homes and valued at more than £800m.
The troubled housebuilder is looking to partner with institutional investors, BTR developers and registered providers to bring forward its schemes in Hillingdon, Hounslow and Cheshunt.
The news comes after Lazard & Co was appointed to lead a strategic review of the business in September last year. An update on the outcome is expected in the next few weeks.
Inland Homes has kicked off a search for a build-to-rent partner for three major residential schemes in and around London, consisting of 3,000 homes and valued at more than £800m.
The troubled housebuilder is looking to partner with institutional investors, BTR developers and registered providers to bring forward its schemes in Hillingdon, Hounslow and Cheshunt.
The news comes after Lazard & Co was appointed to lead a strategic review of the business in September last year. An update on the outcome is expected in the next few weeks.
Inland’s £600m GDV Cavalry Barracks scheme in Hounslow consists of 1,525 homes, 35% of which will be affordable. It will also offer 270,000 sq ft of commercial space. The 36.7-acre former barracks and stables represents Inland’s fifth and largest tie-up with the Ministry of Defence.
The developer’s £200m GDV Hillingdon Gardens scheme in North Hillingdon already has approval for 514 homes and 13,500 sq ft commercial space. The site measures three acres. A provider is sought for the affordable element, which comprises 292 homes.
In Cheshunt, works are already under way on replacing Tesco’s former headquarters with a 1,700-home scheme. The developer is seeking funding and more partners for more than 800 homes at the site, 430 of which are required to be affordable. A 200-home block has already been sold to Sigma Capital for BTR, with another 195 homes sold to social housing provider B3 Living.
Stephen Wicks, founder and former chief executive of Inland Homes, who is a consultant to the board, told EG: “We are doing a number of schemes with BTR operators, and we have quite a good track record of doing BTR over the years, but we want to see if we can find some new partners.
“Some of our existing partners are not so much in the market as they used to be but we have seen some fantastic response from some major funds.”
Wicks pointed to “good institutional demand” in the BTR market, adding the rental market has become “buoyant” on the back of the lack of housing affordability for young people.
“The ideal scenario for us would be to find a fund that is interested in both (affordable and BTR) tenures and for a fund to come in and buy the land on day one.”
Wicks stayed on at Inland as a consultant after he stepped down as chief executive in September, with Donagh O’Sullivan taking over the role. However, O’Sullivan left last month, after just 42 days in the role.
The board appointed Lazard to launch a strategic review of the firm, citing delays in planning applications to support land sales. Planned land sales were expected to contribute more than £75m of recognised revenue and “significant” profitability towards the group.
To send feedback, e-mail akanksha.soni@eg.co.uk or tweet @AkankshaEG or @EGPropertyNews
Image: Inland Homes
