Hundreds of new Build To Rent homes are to be delivered by Springfield Properties in partnership with Sigma. This collaboration between the Scottish housebuilder and the urban regeneration specialist who focuses on family homes, will see a number of new developments in Scotland’s key cities over the coming years. These new homes in Dundee, Edinburgh, Perth, Stirling and Inverness will be Springfield’s first purpose built for the private rented sector, with the majority being erected on the group’s village developments.
Partners in housing
As part of the agreement and subject to meeting certain criteria, Sigma will acquire part of the Springfield’s sites on which the housebuilder will then deliver housing for the private rented sector. The homes will be built under fixed-cost design and build contracts. Once completed, they will be let and managed by Sigma under its ‘Simple Life’ brand.
Innes Smith, Chief Executive Officer of Springfield Properties, said: “We are proud to be chosen by Sigma as their first partner in Scotland to deliver homes for the private rented sector. Like Springfield, Sigma focuses on providing the high-quality family homes that are the heart of successful communities.”
He added: “This agreement stands to accelerate our delivery of homes, particularly on village developments, and we expect it to provide a further revenue stream, alongside our existing private and affordable housing activity, with good visibility over cash flows. It will also increase the number of homes available in the private rented sector and contribute towards our goal of ensuring that everyone within Scotland has a great place to live.”
Commenting on the partnership, Graham Barnet, Chief Executive Officer of Sigma, said: “We are delighted to announce this major partnership with Springfield, one of Scotland’s leading housebuilders. It targets the construction of hundreds of new homes for families across Dundee, Edinburgh, Inverness, Perth and Stirling, which include the key locations of Springfield’s Village sites. Once built, our homes will be let under Sigma’s ‘Simple Life’ lettings brand.”
He added: “Springfield has a well-established reputation for delivering quality homes in Scotland and this partnership brings significant benefits for both sides, especially in accelerating the rate at which mixed tenure sites can be developed. We look forward to working with Springfield as we develop the partnership and extend our model in Scotland.”
Sigma Scottish PRS Fund
The collaboration agreement follows the launch of the Sigma Scottish PRS Fund earlier this year, with initial resources of £43 million, including a revolving credit facility of £30 million from the Scottish Government’s Building Scotland Fund. The Sigma Scottish PRS Fund focuses on delivery of new family homes in the private rented sector in the country.