Sigma and Gatehouse step up PRS investment to £1bn
REGENERATION specialist Sigma Capital Group is expanding its residential private rented sector (PRS) delivery with Gatehouse Bank, having already delivered 927 new homes across 14 sites in Greater Manchester at a total cost of around £106m.
The new agreement augments the existing arrangement and now targets 10,000 new PRS homes to create a £1bn portfolio over the next phase.
Sigma, which has offices in Manchester, London and Edinburgh, says this reflects the initial success of the first phase with Gatehouse, which started in November.
The first phase is ahead of schedule with a quarter of the 927 homes already built or under construction.
New family homes, a mix of high quality two, three and four bedroom houses, were launched in Norris Green, Liverpool and Lower Broughton, Salford in February.
Sigma statement said: “Gatehouse Bank is now looking to deploy further capital into a second phase, followed by a regular rolling programme of investment to create a £1bn portfolio. Phase two discussions are well advanced, with the next sites identified. “
Chief executive of Sigma Graham Barnet said: “We are delighted that our relationship with Gatehouse is expanding and deepening in such a significant way.
“Gatehouse has led the way as a funder in the PRS space and this acceleration and expansion of our activities with them is evidence of the quality and success of our initial phase and the delivery platform we have built with Countryside and Direct Lettings. We have put together a powerful team with Gatehouse and look forward to expanding on it further.”
Chief executive of Gatehouse Henry Thompson added: “ Following the on-going success of phase one with developments in Greater Manchester and Merseyside, we are happy to extend our involvement to a bigger development programme. Sigma have proved to be one of the leading developers in the PRS space.
“Development of phase one is well ahead of programme and everything built has been occupied. We are building communities, not just houses, and the line-up of quality tenants reflects this. With the significant housing shortage in the UK we are confident in the growing demand and deliverability of the PRS sector throughout the UK.”
