Lloyds Bank has agreed a strategic partnership with the UK’s largest housebuilder, Barratt Developments, to create a portfolio of rental homes.
Lloyds’ PRS business, Citra Living, will invest in Barratt homes on a site-by-site basis. The pair are in the process of identifying and agreeing terms for the initial sites to be progressed under this partnership.
Citra Living has already bought a block of 45 flats from Weston Homes at the Nene Wharf scheme in Peterborough. The business launched last month and aims to invest in 400 homes in 2021 and a further 800 in 2022. Citra will do this largely through forward-funding housebuilder schemes in secondary cities and suburban locations, with a focus around the Midlands and the North.
FTSE 100-listed Barratt Homes completed 17,243 homes in the year to the end of June 2021, almost in line with 2019’s pre-pandemic levels. It aims to build 20,000 homes a year and spent £876.8m on land in 2020. It has sites all across the country with larger, notable schemes in Huntingdonshire, Kent and Bedford.
Andy Hutchinson, managing director of Citra Living, said: “Citra Living was born out of the need to build additional good-quality, accessible, affordable homes for the rental market, given the increasing demand within the private rental sector.
“We have reached a significant milestone by partnering with Barratt Developments who share this ambition, to provide access to quality homes for renters.”
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