Middle Eastern investor Apache Capital Partners is launching a £1bn drive into the UK private rented sector in a joint venture with Moda Living.
The investor is seeding the regional venture with a £130m forward funding of the 458-unit Angel Gardens scheme at Noma in Manchester. It has also committed £850m to eight assets that Moda has secured in eight regional cities.
The joint venture has identified opportunities for a 5,000-home pipeline and will also back Moda’s 40-storey Princes Reach tower at Liverpool Waters and the 705-home Quarry Hill in Leeds.
Moda Living, a joint venture between Caddick Developments and Generate Land, will take a minority stake in the venture, and will develop out the projects.
Apache has deployed £350m since its formation in 2008, but has now secured new Middle Eastern backing.
The firm aims to form the first major regional PRS venture and expand it into one of the largest vehicles in the UK.
Moda instructed CBRE to find forward funding for the developments, with a £185m price tag, in March.
The new venture has also earmarked a site in Milton Keynes, and may also invest in the fringes of London.
