EQT and Sigma secure funding from NatWest for Saturn JV

EQT Exeter and Sigma Capital Group secure additional investment from NatWest to support their Saturn joint venture for Build to Rent homes in London.

Saturn Build to Rent housing project. EQT and Sigma Capital Group secure additional funding from NatWest for the joint venture | BTR News
Saturn Build to Rent housing project. EQT and Sigma Capital Group secure additional funding from NatWest for the joint venture.

EQT Exeter and Sigma Capital Group secure additional funding from NatWest for its Saturn joint venture. In September 2020, EQT Exeter and Sigma Capital Group launched the new joint venture to build high-quality, well-located rental homes in more affordable parts of Greater London and its commuter towns. Saturn, which has an initial capacity for an investment portfolio of approximately 3,000 Build to Rent homes, with a total value of over £1bn, agreed its first £150m of debt with NatWest and the UK-based subsidiary of Israel’s largest bank, Leumi UK in February 2022.

“We are delighted to further expand our delivery of new rental homes, and we thank NatWest and the other institutions within the lending group for supporting organisations such as ours looking to deliver significant social impact, by providing housing to renters in affordable locations, as well as offering community services within Greater London and its commuter towns.”

Graham Barnet, CEO, Sigma Capital

NatWest has now sourced further liquidity for Saturn – introducing Allied Irish Bank and Dutch-bank NIBC to the lender group – who agree to provide further development finance, alongside NatWest and Leumi UK’s £150m – bringing the total funding for EQT and Sigma Capital’s Build to Rent housing project to £285m. 

“We are pleased to have sourced additional debt liquidity for Saturn to continue to support EQT Exeter and Sigma Capital deliver much-needed homes across Greater London, wholly consistent with the NatWest ethos of purposeful lending. We look forward to working with the teams at AIB and NIBC alongside our existing lending partner, Leumi UK.”

Lee Franklin, Structured Real Estate Finance, NatWest

The new homes – offered at affordable rent specific to each location’s average household income – will be operated by Sigma Capital’s Simple Life London brand. Saturn buildings will be delivered with strong sustainability credentials – the homes, where possible, will tap into the local community heating networks and utilise photovoltaic solar panels. Saturn will also promote sustainable living practices, such as the inclusion of cycle storage, and being located near outdoor green spaces.

“EQT Exeter is very pleased to have secured further funding which will help us to build affordable rental homes in London. We are delighted with our financing solution, which was designed to be scalable and help us to achieve our longer-term business plan and strategy.”

Peter Shacalis, Managing Director, EQT Exeter