The Midlands’ housing sector is set to receive a significant boost, with Housing Growth Partnership (HGP) announcing an equity investment of £17.7 million. This Lloyds-backed venture aims to accelerate the construction of 557 homes across seven distinct housing projects in the region.

HGP’s collaboration with a range of established local housebuilders will address the pressing demand for both sale and rental properties in the Midlands, a region grappling with housing shortages. The projects, slated for completion between the third quarter of 2024 and the end of 2025, include:

– A green retrofit of the former St. Mary’s Hospital in Melton Mowbray, Leicestershire, in partnership with Snowdown Homes, resulting in 41 houses and four apartments.

– Two ambitious projects in Birmingham’s bustling city centre, delivering a total of 203 apartments, in collaboration with Rainier Developments and 10M.

– A 171-unit Build-to-Rent apartment complex in Leicester’s heart, alongside Monk Estates.

– A 21-home project in Sutton, Bedfordshire, marking HGP’s second venture with Cora Homes. This scheme will leverage Modern Methods of Construction, promising reduced carbon footprints and expedited construction timelines.

– The construction of 47 homes in Tansley Gardens with Stancliffe Homes.

– A land acquisition in Derbyshire, aiming to introduce approximately 70 new homes, in another collaboration with Cora Homes.

The Midlands has been a focal point for HGP since 2016, with the firm investing roughly £37 million in equity across 20 schemes in the region. Over £26 million of this investment has been poured into the area in the past two years alone, addressing the region’s acute housing shortage.

Mike Murphy, HGP’s Investment Director for the Midlands, commented on the current landscape: “The demand for alternative funding solutions from UK developers is at an all-time high, given the current restrictive debt financing environment. Our focus remains on expanding our footprint in the Midlands, while ensuring our investments align with our commitment to environmental and social value.”