Zenzic Capital and Jensco Group have launched a UK single-family rental (SFR) platform, deploying £31m of institutional capital into a forward-funded portfolio of 125 new homes acquired from housebuilder Vistry.
The deal, completed through a joint venture between the two firms, will deliver the homes at Vistry’s Great Haddon development in Peterborough and marks the first investment made by the Zenzic Real Estate Credit Opportunities Fund.
The fund was launched in October to target real estate-backed credit, special situations and structured investment opportunities.
Specialist funds and structured forward funding are increasingly filling the gap between development finance and long-term investment, creating opportunities across the short-term lending, bridging and commercial finance landscape.
SCALABLE PLATFORM
The initial scheme will comprise mainly two- and three-bedroom houses built to high sustainability standards, with construction expected to commence later this year.
The partners plan to scale the platform to around 1,000 homes nationwide, creating a stabilised, income-producing portfolio suitable for long-term institutional ownership or future refinancing.
Nadine Buckland (main picture, inset), chief executive of Zenzic Capital, says: “This investment reflects our conviction in structurally undersupplied residential markets where institutional capital can support the delivery of high-quality, professionally managed homes.
“The UK single-family housing sector is at an early but compelling stage of evolution, underpinned by long-term demographic trends, affordability pressures and increasing demand for rental housing that meets institutional standards.”
SIGNIFICANT OPPORTUNITY
She adds: “Our focus is on partnering with experienced operators to build scalable platforms with strong asset quality, disciplined capital deployment and a clear emphasis on the end customer.
“We see significant opportunity to grow this platform over time and look forward to working closely with Jensco to originate further investments and expand the portfolio in a controlled and selective manner.”
STRONG FUNDAMENTALS
Nigel Bobroff, chief executive of Jensco Group, says: “Institutional interest in single-family rental housing continues to grow, reflecting the sector’s strong fundamentals and its ability to provide high-quality, professionally managed homes for families seeking long-term stability.
“This investment supports the delivery of highly sustainable homes in great locations, where demand is deep and supply remains constrained.”
He adds: “Working alongside and investing with Zenzic, our focus is on building a long-term, institutional-grade portfolio, partnering with established housebuilders.
“We are delighted to be working with Vistry to bring forward well-designed homes that meet the needs of modern renters as the sector continues to mature.”
ACCELERATE DELIVERY
James Warrington, executive chair for the North, South Midlands and East division at Vistry Group, says: “We’re pleased to be working with Zenzic and Jensco at Great Haddon to bring forward a high-quality, sustainably built programme of single-family rental homes delivered at pace.
“Forward funding arrangements like this accelerate delivery and provide professionally managed, long-term homes that meet strong local demand in areas like Peterborough.
“It’s a great example of how our partnership model helps create thriving places while raising the bar on quality and energy performance.”
