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House builder’s for-profit provider seeks JV partner
A for-profit provider of social housing that was recently registered by a private house builder is now seeking a joint venture partner to increase its pipeline of homes.
Brownfield regeneration specialist Inland Homes revealed the next step in its plans for Rosewood Housing, the wholly owned for-profit provider it registered in August last year, in its half-year results, which included finding a partner to add new homes.
The results also revealed that the builder took 30 months to complete the registration process with the Regulator of Social Housing.
In January, Rosewood bought its first home, a property in Amersham, Buckinghamshire, which will be let at an affordable rent under a Section 106 agreement with the local authority.
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In his statement for the results, Terry Roydon, chair of Inland Homes, said: “We have identified a further pipeline of new opportunities which are a mix of shared ownership, social and discounted market rent units and we will be seeking a joint venture partner to move this business forward.”
Inland also has a partnership housing division, through which it works with housing associations and local authorities.
According to its half-year results, it increased its contract income in this area in the six months to December 2018, bringing in £15m, well up on the £5.2m brought in in the equivalent period in 2017.
The total current order book, it added, increased by 326% to around £140m, up from £43m, with 496 homes under construction for partnership housing, compared with 220 in 2017.
The builder sees this as an area of serious growth, predicting £16m of contract income in the next six months and £46.7m over the whole of 2019/20.
Mr Roydon said: “Our ability to secure partnership housing deals alongside private housebuilding balances our business model during these times of uncertainty.”
The results revealed that Inland has exchanged contracts to acquire a major site in Dagenham, east London, which has planning consent for 325 homes. Inland said it is in an advanced stage to sell the site on and sign a partnership housing contract with “a major housing association”.
It also announced on Monday that it has facilitated the purchase of a site in Hillingdon with the capacity for more than 400 homes.
Stephen Wicks, chief executive of Inland, said: “Once consent is secured, Inland expects to negotiate a major partnership housing opportunity with a housing association or a build-to-rent operator.”
