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London landlord and Vistry sign forward funding deal for more than 300 homes
Metropolitan Thames Valley Housing (MTVH) and Vistry Group have signed a forward funding deal for 323 homes at a regeneration scheme in south London.
The housing association and house builder have secured land and funding for the second phase of their £1.2bn redevelopment of the Clapham Park Estate.
The joint venture (JV) between MTVH and Vistry acquired the land for the new phase from Metropolitan Housing Trust, an MTVH Group company.
The JV has also signed an agreement with MTVH for the forward sale of 128 affordable homes on the phase, comprising 66 affordable rent and 62 shared ownership.
Meanwhile, 122 homes have been forward sold to Thriving Investments, the fund manager owned by housing association Places for People, and asset manager Gresham House for £53m. All 122 homes will be for shared ownership.
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This transaction, reported last month, is the first joint investment for Thriving Investments and Gresham House after they vowed in November 2024 to build a shared ownership fund worth £1bn in five years.
Heather Fleming, managing director – institutional business at Gresham House, said: “This collaboration harnesses our combined expertise and resources to deliver superior outcomes for our clients. It reflects the increasing demand from investors for shared ownership investments, driven by the need for stable income and long-term capital growth opportunities in the UK housing market.”
The deal was supported by a grant from the Greater London Authority. It means that 77% of the 323-home phase will be affordable or shared ownership homes, with the remaining 73 homes built for open market sale through Countryside Homes.
The first affordable homes on the phase are expected to be handed over to MTVH in 2026. The 122 shared ownership homes for Thriving Investments and Gresham House are scheduled for completion by December 2026.
The first phase of the Clapham Park regeneration is under construction, with 530 homes due to be completed between 2025 and 2026. These comprise 282 affordable homes, 123 private sale homes and 115 private rented homes, managed by Simple Life London.
Daniel King, divisional chair for London at Vistry Group, said: “The partnership with Gresham House and Thriving Investments allows us to increase the amount of affordable housing we are delivering at our regeneration of Clapham Park with MTVH, helping to meet the chronic need for housing in London through the delivery of over three-quarters of the 323 high-quality homes in affordable tenures.”
The masterplan for the regeneration includes 2,500 homes, of which over 50% will be affordable. These will comprise family homes, apartments, build-to-rent apartments and later living.
There will also be a community centre, a market square, two parks, commercial and retail space, and an air-source heat pump district heating system.
The Clapham Park Estate was built by the London Borough of Lambeth after the Second World War on land that had been heavily damaged during the Blitz. Control of the 36-hectare site was transferred to MTVH in 2006.
In 2019, planning permission was granted for the new masterplan to deliver more than 2,500 new homes, taking the total site to over 4,000 homes.
Guy Burnett, executive director of development at MTVH, said: “This agreement represents yet another huge investment in our flagship regeneration scheme, and reaffirms our commitment to providing the high-quality, affordable homes, across a range of tenures, which the local community needs.”
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