Packaged Living and Aviva acquire two SFH BTR developments

The acquisition of two single-family housing (SFH) Build to Rent developments grows Packaged Living and Aviva's expanding UK platform to 1,500 homes.

Packaged Living and Aviva Investors have acquired two single-family housing (SFH) developments at Shenley Wood and Whitehouse Park | BTR News
Packaged Living and Aviva Investors have acquired two single-family housing (SFH) developments at Shenley Wood and Whitehouse Park.

Sustainable living specialist Packaged Living and global asset management business of Aviva plc, Aviva Investors have acquired two additional SFH Build to Rent developments, both in Milton Keynes, from Dandara.

The funding continues a partnership between Packaged Living and Aviva Investors to create a platform of affordable and energy-efficient family homes across the UK, which launched in November 2021. Since then, the partnership has now helped to fund the creation of almost 1,000 homes across seven developments, with an additional 500 homes in exclusivity.

It is also the first investment into the UK residential and living sector made by Aviva Investors’ Long-Term Asset Fund, REALTAF, which launched in May 2023 with an initial £1.5bn portfolio of carefully selected assets, at the time making it the largest such fund launched in the market.

“We are pleased to be partnering with Dandara once again. Our SFH business model is predicated on doing as much repeat business with as few counterparties as possible. This is the key to successful SFH platform scaling. Aside from delivering a high quality and sustainable product, Dandara share our enthusiasm for a true partnership model, one which is built on mutual respect, trust and understanding.”

Jonathon Ivory, Chief Investment Officer, Packaged Living

Based in Shenley Wood and Whitehouse Park, the developments will comprise 212 new family homes; together worth over £85m.  

Shenley Wood in the South-West area of Milton Keynes will include 117 new single-family homes consisting of two-, three- and four-bedrooms. The site is located two miles from Milton Keynes city centre, providing convenient access to a wide range of employment and amenity centres, major transport networks and green spaces in the surrounding area.

“As one of the leading and active investors in the UK’s residential and living sector, we are incredibly pleased to provide funding towards the schemes in Shenley Wood and Whitehouse Park. These developments are further examples of our ability to deliver projects, leading the way in supporting communities across the UK in helping them get ready for the future. We believe they can bring a great deal of social value to the local areas they are located, whilst also delivering good investment returns for UK pension savers.”

James Stevens, Head of Real Estate Investment, Aviva Investors

Whitehouse Park, which is located to the West of central Milton Keynes within the Whitehouse Park masterplan, will include 95 new single-family homes consisting of two-, three- and four-bedrooms. The Whitehouse Park masterplan will deliver a total of 4,400 new homes, four schools, employment spaces, extensive amenity and community offerings, whilst being well-situated at the heart of the wider Ox-Mk-Cam arc.

Continuing both companies focus on creating sustainable communities, the new developments will offer families highly energy-efficient homes, designed to minimise ongoing energy usage and running costs. All homes in the portfolio will use air source heat pumps and electric-only energy solutions – rather than gas-powered alternatives.

 “These market leading collaborations are the third and fourth SFH funding transactions between Dandara, Aviva Investors and Packaged Living. We are pleased to be building on the success of our previous partnership at Dandara’s developments at Towerlands Park, Braintree and Dartford. We look forward to continuing to deliver modern, energy-efficient homes to this dynamic market here in Milton Keynes.”

Trevor Dempsey, CEO, Dandara

Both developments will also feature electric vehicle charging for every home and photovoltaic panels combined with battery power storage, to help improve efficiency and further drive down costs. In addition, all homes will be targeting EPC A and HQM Level 4.

The homes have been purchased from privately owned living sector housebuilder and developer Dandara, which is currently delivering 237 homes for the Partnership in Braintree, Essex and Dartford in Kent.