- Vistry says 5,000 new build-to-rent homes will be delivered over the next five years
- Michael Gove revealed plans to increase construction on brownfield land
Housebuilder Vistry has signed a deal with build-to-rent group Sigma Capital Group to build 5,000 new homes.
The homes will be built in various regions of the UK over the next five years, although Vistry refuses to reveal the location of the sites.
The projects will be delivered under Sigma’s Simple Life brand and construction will be carried out through Vistry’s Countryside Partnerships unit.
Housebuilding on brownfield land will receive a “boost” thanks to a major shake-up of planning rules to boost housebuilding while protecting the Green Belt, the government announced this week.
More new builds: Vistry has struck a deal with build-to-rent group Sigma Capital Group to build 5,000 new homes
Housing Secretary Michael Gove said this week: “Our new brownfield presumption will address under-delivery in our key towns and cities, where new homes are most needed to support jobs and drive growth.”
Official figures published on Wednesday showed private rental prices paid by tenants in the UK rose 6.2 per cent in the 12 months to January, unchanged for the second month in a row.
Annual private rental prices rose by 6.1 per cent in England, 7 per cent in Wales and 6.8 per cent in Scotland over the period, the Office for National Statistics said.
Within England, London had the largest annual percentage change in private rental prices over the year, at 6.9 per cent, while the North East saw the lowest, at 4.7 per cent.
After today’s update, vitry shares rose 1.79 per cent or 17.00 pence to 966.50 pence on Wednesday, having risen more than 26 per cent in the last year.
Vistry has built more than 8,500 homes of the same model announced today in partnership with Sigma, which focuses on detached homes, at a cost of £2.25 billion.
Greg Fitzgerald, chief executive of Vistry, said: “This framework agreement with Sigma is another great example of how our Partnerships model can deliver at scale the mix of housing tenures that residents across the UK desperately need.”
Plans: House building on brownfield land will be ‘turbocharged’, Michael Gove said this week
“High quality build-to-rent homes continue to be an important offering for our mixed tenure communities and we are delighted to continue our long-term partnership with Sigma.”
Graham Barnet, chief executive and founder of Sigma, added: “We currently have over 3,500 additional homes under construction across the UK with a history of 98 per cent rented or reserved at any given time, and above construction standard. of the industry”. “Rent (BTR) customer review ratings, we look forward to delivering many more much-needed BTR family homes over the next five years with our partner Vistry.”
In January, land and property group Henry Boot struck a deal to sell 759 residential housing plots in Swindon to Vistry for an undisclosed fee.
The site at South Marston was secured by Henry Boot’s land and planning business, Hallam Land Management, through a land purchase option more than 20 years ago. Henry Boot claimed that 500 “affordable homes” would be built on the land.
In October, Vistry cut its full-year profit expectations and cut 200 jobs. He made £40m less profit than previously thought after a drop in demand.