Sigma, the private rented sector (“PRS”), residential development and urban regeneration specialist, is pleased to announce the expansion of its build-to-rent activities and ‘Simple Life’ rental brand into London, with the acquisition of two development sites in Havering and Barking. This first venture is expected to mark the start of greater activity over the coming year.
The Company has acquired an 80-unit development site at Beam Park, part of a £1 billion regeneration project underway across the London Boroughs of Havering and Barking & Dagenham, on land released by the Greater London Authority (“GLA”) as part of the GLA’s plans for new London homes. Sigma has also acquired a 77-unit development site at Fresh Wharf, a major riverside scheme close to Barking Town centre.
Sigma is working with Countryside Properties and L&Q New Homes at the Beam Park scheme and with Countryside Properties and Notting Hill Developments at Fresh Wharf.
The combined total gross development cost (“GDC”) of the two sites is c. £43.8m. The Fresh Wharf site is expected to be completed towards the end of next year, with Beam Park completing by Spring 2021. The new homes will be marketed and let under the Company’s ‘Simple Life’letting brand, which aims to set a new, higher standard of customer care in the general rental market.
The Company’s move into London follows its recent launch in Scotland, where it has entered into a collaboration agreement with Springfield Properties plc, a leading Scottish housebuilder, that is targeting the delivery of hundreds of new rental homes across Scotland’s major cities, including Dundee, Edinburgh, and Glasgow. Outside London, Sigma has delivered more than 3,000 new rental homes across the regions, through its PRS property platform, with over 1,300 delivered for The PRS REIT plc (“PRS REIT”), which is establishing a large-scale portfolio of family homes. A further 3,400 homes are currently under construction for the PRS REIT, as Sigma progresses towards delivering the PRS REIT’s overall initial target of 5,400 homes across the UK (outside London).
Graham Barnet, CEO of Sigma Capital Group, commented:
“We are delighted to announce the expansion of Sigma’s build-to-rent activities into London, with the acquisition of our first two sites at Fresh Wharf in Barking and Beam Park in Dagenham. This is an exciting first step for the Company into a new key geography. The move into London means that Sigma’s property delivery platform now reaches across most of the mainland UK, providing us with significantly increased development opportunities. It also takes our letting brand, Simple Life, into the London market.
“Our long-term partner, Countryside, will develop both London sites with Fresh Wharf development completing by the end of next year and Beam Park in Spring 2021.”
Ian Sutcliffe, Group Chief Executive at Countryside Properties plc, commented:
“We are delighted to be extending our very successful partnership with Sigma Capital into the London market. We have delivered over 4,000 private rented homes over the past five years together as part of differentiated mixed tenure approach to regeneration sites. We anticipate continuing growth from our relationship with Sigma in London and beyond.”
Kevin Harris, Director of Project Management and Development at L&Q, commented:”We are happy to welcome Sigma to the Beam Park regeneration. This project is truly exciting, and will deliver real benefits to the local area, from community facilities to generous publicly accessible open spaces. By working together to provide homes in a range of tenures – from private rented and outright sale to much needed affordable housing, we can make an important contribution to meeting London’s housing needs.”