M&G has completed a trio of deals worth a combined £62.7m to acquire 370 shared ownership properties from UK housing associations.
The deals with Chelmer Housing Partnership (CHP), Hyde Group (Hyde) and HSPG-backed Park Properties Housing Association (PPHA), were made on behalf of the M&G Shared Ownership Fund.
M&G will directly fund the development of new homes or buy existing and pipeline stock enabling the housing associations to recycle capital into new homes and further affordable housing initiatives. The housing associations will continue to manage the properties on behalf of M&G, ensuring a seamless transition for residents.
Alex Greaves, head of UK and European living at M&G Real Estate, said: “These latest strategic partnerships mark a crucial step in our journey to meeting the significant demand for the shared ownership model in areas of the country where it is most needed. It’s also a brilliant example of how the private and public sectors can collaborate to make a positive impact on an underserved market. We’re delighted to be working with Hyde again and look forward to a long and productive partnerships with CHP and PPHA.”
Paul Edwards, chief executive of CHP, added: “We’re proud of our track record of building new affordable homes across Essex and are excited to be combining our expertise in this new and important partnership. Working with M&G we have brought in more investment for new homes, whilst still providing our great local customer service for the homes M&G have purchased. We are looking forward to continuing this relationship so that we can proactively tackle the housing crisis together in the longer term.”
Guy Slocombe, chief investment officer at the Hyde Group, said: “This deal demonstrates how this model allows us to accelerate the delivery of more affordable homes while enabling us to quickly recycle the capital we generate into new schemes. By combining our expertise in managing homes well with the investment M&G offers, we are bringing new investment into the sector, and it is playing an important role in meeting the challenges of the housing crisis.”
Guy Horne, CEO of HSPG, added: “We are delighted to partner with M&G on our first transaction together, which introduces additional long term capital into the sector. By continuing to manage the homes, we will give our tenants consistent and high quality service. As our partnership develops, we are excited to deliver more affordable housing up and down the country as we help people gain access to home ownership.”
