11/11/2021 | Press release | Distributed by Public on 11/11/2021 13:05
Build-to-rent pioneer joins forces with KKR to deliver a new UK-wide 'amenity light' rental product starting at New Garden Square, Edgbaston
London, 11 November, 2021: Moda Living, a build-to-rent pioneer, and KKR, a leading global investment firm, today announced that Moda Living and KKR have collaborated to launch a new platform with an initial 5,000 homes.
The new neighbourhoods will embody Moda's core principles of creating the optimum rental experience for its members with a core focus on outstanding customer service, community and wellness. With a highly efficient and centralised amenity provision, and flexible and functional spaces, the new model targets a more accessible price point in the UK Build-to-Rent (BTR) market and is complementary to existing platforms with investors including Harrison St, NFU, and Apache Capital.
This latest platform announcement takes Moda's overall development pipeline to more than 15,000 units with a GDV of around £5 billion, making them the UK BTR market's largest privately owned developer operator. This marks the first investment KKR has done in the UK BTR market through a platform structure.Building on its pipeline of prime city centre UK BTR neighbourhoods, Moda's new platform with KKR will develop and operate best-in-class, tech-enabled neighbourhoods with a condensed amenity offering at a more accessible price point than current platforms for residents in urban and suburban areas.The platform will focus on less core city centre locations and low to mid rise buildings.The new venture is set to make its set to make its debut development inBirmingham, where it will deliver a 398-home neighbourhood at New Garden Square in Edgbaston, Birmingham.
Moda and KKR have acquired the two-acre site from Calthorpe Estates, with Moda working closely with Court Collaboration, a Birmingham based developer, on design and procurement to bring forward the scheme. The neighbourhood will sit within Calthorpe Estates' Edgbaston Village regeneration, which will deliver new homes, retail and leisure amenities to the Birmingham quarter set around a new garden square.
Tony Brooks, Managing Director at Moda Living, said: "We are thrilled to be launching a new living platform with KKR, who share our vision of creating and running state-of-the-art rental communities to cater to all demographics". They are a fantastic global strategic partner, and with our joint ambition and complementary skill sets we are in a strong position to roll out our strategy across the UK.
Rosa Brand, Director at KKR, commented: "Build-to-rent residential remains a priority sector for us in Europe, and we are very excited to create a unique, best-in-class portfolio with our strategic partners Moda Living".
Anthony Court, Managing Director of Court Collaboration, added: "New Garden Square is a truly exciting scheme for our city and we're delighted to see the development progressing with Moda Living. Both companies have so much love for Birmingham; a city well and truly on the up and we are thrilled Moda and KKR have bought into our ambition here."
Ralph Minott, Masterplanning and Development Director at Calthorpe Estates said:"We are delighted to have enabled a new strategic partnership on the Calthorpe Estate for Moda-Living and KKR to launch their new venture. New Garden Square has remained an important part of Calthorpe Estates heritage since its first regeneration into offices in the 1950s from historic Edgbaston residences, and will be a key part of the vibrant Edgbaston Village outer city centre district."
As with other Moda Living developments, New Garden Square will prioritise strong sustainability credentials, and is targeting GRESB and 3-star Fitwel accreditation. Earlier this year, the business's Edinburgh neighbourhood became the first project in Europe to achieve the highest Fitwel rating.
KKR's investment in Moda Living was made via its second dedicated European real estate fund, KKR Real Estate Partners Europe II (REPE II). In July 2021, KKR announced the final closing of REPE II, a US$2.2 billion fund dedicated to value add and opportunistic real estate investments in Western Europe.
About Moda Living
Moda Living is the UKs leading developer and operator of rental communities. Founded in 2014, the business has built a UK-wide pipeline of more than 18,400 homes with a combined GDV in excess of £6 billion. Moda operates a family of living sector platforms with leading global institutional investment partners.
Moda's vertically integrated model designs, builds and operates next generation spaces to live, work and play. Moda continues to push the boundaries of style, service and innovation to craft considered, diverse residential communities providing different products at different price points for different lifestyle requirements.
Moda's core brand foundations focus on outstanding customer service, integrated technology and health & wellbeing to provide an optimum rental experience and a better quality of life.
KKR is a leading global investment firm that offers alternative asset management and capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR's insurance subsidiaries offer retirement, life and reinsurance products under the management of The Global Atlantic Financial Group. References to KKR's investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR's website at www.kkr.comand on Twitter @KKR_Co.
Corporate PR Manager, Moda Living
Alastair Elwen / Sophia JohnstonFinsbury Glover Hering
Telephone: +44 20 7251 3801
Email: [email protected]