Grainger plc (“Grainger” / the “Company”)
MAJOR VICTORY AS GOVERNMENT ANNOUNCES PLANS TO SUPPORT BUILD-TO-RENT
Grainger, the UK’s largest listed residential property owner and manager, today welcomes Government’s announcement to support the Build-To-Rent sector following years of lobbying by Grainger.[1]
The Government’s housing announcement today effectively endorses the recommendations by Sir Adrian Montague set out only two weeks ago in his review of the private rented sector to kick-start a viable build-to-rent market, including making it easier to build properties specifically for renting by easing planning restrictions, a Government-backed equity fund of £200m for enabling Build-To-Rent projects, a Government taskforce on the private rented sector, a Government guarantee for £10bn for long-term debt for rental developments and releasing public sector land for build-to-rent developments.
Grainger is one of the best-placed organisations to deliver Build-To-Rent projects, as endorsed today by the Prime Minister, with over 100 years of experience in owning, managing and building quality homes. Grainger currently manages over 40,000 homes across the whole of the UK and Germany.
Commenting, Nick Jopling, Executive Property Director of Grainger and a member of Sir Adrian Montague’s review group, said:
“Today’s announcement is good news for the future of the UK housing market and better news for the millions of individuals that will be renting. With the support announced today, Grainger will help lead the way to creating a viable Built-To-Rent sector, attracting institutional investment.
“Building quality homes for long-term rent will be a game-changer for the UK housing market, and it will address the huge, and growing, demand for privately renting.
“It is imperative to the UK economy and housing market that we provide enough homes, and the right type of homes. Today’s announcement recognises this, and particularly recognises the importance of the rental sector in the UK housing market.”
Renting is the fastest growing housing tenure in the UK, with millions more expected to enter the private rented sector by 2020. To date the private rented sector has suffered from a lack of large scale investment and an insufficient supply of good quality, attractive products. Grainger believes that more must be done to unlock supply of good quality, purpose-built housing for rental by making the sector more attractive to the institutional investment, such as pension funds, and today’s announcement by Government is the biggest endorsement of this to date.
-ENDS-
For further information:
Grainger plc
Kurt Mueller
Tel: +44 (0) 20 7795 4700
FTI Consulting
Stephanie Highett/ Dido Laurimore/ Will Henderson
Tel: +44 (0) 20 7831 3113
Company background information
Grainger plc is the UK’s largest listed residential owner and manager. Grainger has over £3.0bn of residential assets under management across the UK and Germany. Grainger invests in, trades and rents residential property across the UK and Germany, and provides its services to select third parties. Grainger was established in 1912 in Newcastle upon Tyne, where it remains headquartered. In 2012, Grainger won the UK’s Residential Asset Manager of the Year at the RESI Awards. Grainger is a constituent of the FTSE 250 on the London Stock Exchange and the FTSE4Good index.
[1]Written Ministerial Statement, http://www.parliament.uk/business/publications/hansard/commons/todays-written-statements