Maven Capital Partners (“Maven”), a leading UK property and private equity manager, has agreed a joint venture (“JV”) with Taggart Homes, the award winning housebuilder, to develop 150 new-build family homes in Mansfield, Nottinghamshire.
The transaction includes a £3.9 million equity fundraise from Maven’s co-investor syndicate, Maven Investor Partners, alongside a £8.8 million debt facility from Paragon Development Finance.
The Mansfield development represents Maven’s second residential JV project in recent months following the announcement of its partnership with Calmont Homes to build 61 homes at Oak Meadows in the village of Middleton St George, near Darlington.
The 15 acre site is located approximately 1.5 miles to the west of Mansfield town centre within an established residential area and is in close proximity to local schooling, amenities and excellent commuter links via the M1 motorway.
The development will be delivered over five phases and is expected to take three years to complete. A mix of apartments, terraced, semi-detached and detached family homes are being planned with 120 for private sale, 20 for affordable rent and 10 shared ownership. Total Development Cost for the project is expected to be £25.9 million.
The UK housing market performed strongly during 2020 and has continued into 2021 despite the Covid-19 pandemic, driven principally by changes in customer behaviour and supported by government assistance schemes such as furlough and the stamp duty holiday. The long term outlook is similarly positive with Savills forecasting 21% growth in UK house prices until 2025.
Richard Elliott, Investment Director at Maven, said: “The UK housing market remains buoyant having enjoyed a period of significant growth over the last 18 months. Factors such as continuing low interest rates, government incentive schemes and societal changes associated with the Covid pandemic, including an increased requirement for home working, have all contributed to strong demand for quality, well located housing stock. The outlook for the sector is positive and we are delighted to partner with Taggart Homes on this new development in Mansfield where I’m sure Taggart’s award winning product will be well received by home buyers.”
Michael Taggart, CEO at Taggart Homes, said: “Following on from the success of our development in nearby Annesley, Taggart Homes is delighted to be undertaking this development of 150 quality houses which are well located on the eastern side of Mansfield near established transport links and local employment. This year we have also successfully agreed to acquire a further three sites in Nottinghamshire which will deliver a further 155 homes over the next two years. Despite the current pandemic and supply chain challenges we consider the outlook for the housing sector to be extremely positive across the Midlands region where we operate. We want to continue to build communities where neighbours become friends, where memories are made and we understand what a huge step buying a new home is, so we always strive to provide the finest quality properties, where luxury meets convenience.
We have been extremely impressed with our partners at Maven and are looking forward to further developing our relationship with additional developments in the years ahead.”