Vistry to build 1,750 homes in £580m deal with Blackstone, Regis

Vistry has agreed terms with private equity giant Blackstone and property investor Regis Group to buy a portfolio of new build homes in the south-east of England with a gross development value of £580m.

The portfolio will be managed by Leaf Living, which provides private rented sector housing backed by funds managed by Blackstone and Regis.

Vistry on Tuesday said the portfolio, which is largely plots from its former housebuilding landbank, consists of around 1,750 homes across 36 developments. It plans to pre-sell in line with its target of shifting 65% of all homes across the business this way, helping to drive the company towards its medium-term financial targets.

The first completions under the agreement are expected by the end of June 2024, with the majority of homes expected to complete within the next two years, Vistry added.

Chief executive Greg Fitzgerald said the deal "supports our differentiated business model, with the certainty provided by the pre-selling of homes enabling us to accelerate our build programmes, guarantee work for our supply chain, reduce sales and build costs and create vibrant new communities".

"This year we are on track to deliver more than a 10% increase in new home completions, playing a key part in helping to address the UK's acute housing shortage."

Reporting by Frank Prenesti for Sharecast.com