In Focus Report: For-Profit Affordable Housing

Market Insight
Omer Fazal, Head of Real Estate - Centrus


For-Profit Registered Providers (FPRP) have prompted a significant shake-up of the UK affordable housing market. But the landscape is an unusual one. At present, a majority of providers are small developers, yet a significant majority of the stock is with a few larger institutions – and there have been few trades between FPRPs, a function of the nascent nature of the sector.

Analysis based on Savills research earlier this year suggests 39% of the 70 registered For-Profit Registered Providers (FPRPs) are independent developers, yet they account for only 6% of homes.

In comparison, 90% of all stock is owned by institutions, despite the fact that they make up less than a quarter (21%) of the FPRPs; highlighting the weight of capital residing with the institutions.

Recent successful fundraisings of c £250m in aggregate by the likes of Octopus, Savills Investment Management and Edmond de Rothschild, reflect a growing appetite by institutions to access this sector.

Our report In Focus: For-profit affordable housing explores:

  • For-profit affordable housing
  • Challenges faced by housing associations and local authorities
  • Market demand and opportunities
  • Benefits of partnerships between housing associations and investors

Download the report below. For more information on any of the topics discussed, please contact Omer Fazal, Managing Director and Head of Real Estate at Centrus.