Wavensmere Homes seeks buyer for £60m residential portfolio

Wavensmere Homes is selling a portfolio of 262 single-family houses in the Midlands for offers in excess of £60m. The developer is seeking a forward commitment for the portfolio, with a net initial yield of 5%. The portfolio includes 131 homes in Wavensmere’s £75m Friar Gate Goods Yard redevelopment (pictured) in Derby, which received planning approval in April.  The site has permission for 276 homes and 111,275 sq ft of commercial space, including flexible offices, a health and fitness centre, restaurant and café.  The rest of the portfolio comprises 131 homes across another Midlands site that is currently in planning. Mark Wilson, partner at Acre Capital Real Estate, which is acting on behalf of Wavensmere, said: “This portfolio of 262 new city-centre houses presents a unique opportunity within the UK residential market. “These locations have the added benefit of a range of on-site communal facilities Wavensmere delivers for residents, such as co-working offices, screening rooms, community gardens, and fitness and play spaces.” James Dickens, managing director of Wavensmere Homes, said: “Constructing two- and three-storey houses in city locations is in direct contrast to the prevalence of mid- to high-rise apartment blocks that have adorned urban skylines over the past 25 years. But not everybody wants to live in a flat. There is huge demand for eco-focused single-family housing that’s close to major centres of employment, retail, leisure, healthcare and a wide range of education provision. “The eventual deal could enable us to accelerate our construction programmes, boost local supply chains and acquire additional regeneration land ahead of our current business plan projections.” View socio-demographic data for the East Midlands and West Midlands using EG market analytics