New housing strategy launched with £150m portfolio

Asset management business, Waypoint has introduced the UK’s ‘Waypoint Affordable Single-Family Housing Fund,’ concentrating on constructing new, affordable single-family homes.

This will be kick-started with a £150m seed portfolio and targets potential annual returns to investors of over 15%.

The portfolio includes 531 homes across 7 sites. With a total investment of approximately £150m, these homes are ready to begin construction very soon.

Supporting the seed portfolio is a larger pipeline consisting of 1,979 homes across 25 sites, with a total investment of around £570m.

The vast majority (90%) of these homes are dedicated to houses, with the remaining 10% being apartments.

The new fund will be delivered in partnership with East Midlands-based Wise Living.

Fund manager, Paul Dennis-Jones of Waypoint, said: “There is a pressing need for all forms of quality housing in the UK, and this fund has been created to help the thousands of hardworking individuals and families who are looking for a place to call home. Demand for this is high and has been further exacerbated by the current turmoil in the single-family rental sector as more and more private landlords exit, making the untapped opportunity even stronger. This provides a very healthy, secure and long-term sector for institutional investors to now get involved at a cyclical point where yields are at a historical high.

“By prioritising properties in locations with easy access to essential local amenities and employment zones, we aim to provide not just bricks and mortar, but homes that support the well-being and economic stability of our tenants. This approach is not only socially responsible but also aligns with our goal of delivering sustainable, long-term returns to our investors.”

Paul Staley, managing director at Wise Living, added: “The ‘Waypoint Affordable Single-Family Housing Fund’ presents a compelling investment opportunity, comprising significant scale, strong developer partnerships, and well-established predictable returns. This approach is built on a solid foundation which not only gives investors significant and predictable returns but also helps to address the critical need for high-quality and professionally managed affordable housing in the UK. We have years of experience in helping investors to make the most of the opportunities that are available in the market and look forward to helping to deliver more projects through this new fund.”