Orbit progresses densification strategy with £16m deal with ReSI

Orbit, one of the UK’s largest social housing providers with over 45,000 homes, has successfully agreed a deal worth in excess of £16 million with Residential Secure Income plc (ReSI), for the transfer of 191 shared ownership homes.

Part of Orbit’s densification strategy, the deal will see ReSI secure a diversified portfolio of 180 houses and 11 apartments, located across 18 counties in England.

Commenting on the deal, Orbit Group Chief Executive, Mark Hoyland said: “The transfer of these shared ownership properties is part of our portfolio densification strategy, driving operational efficiencies for Orbit and supporting the delivery of more affordable new homes.

“This opportunity attracted significant market interest and we are delighted that ReSI, as a long-term owner who shares our values, was successful. As a sector-leading developer of affordable homes, the proceeds of this deal will fund further much needed homes in our key operational areas, supporting both our mission to build thriving communities and to help address the critical lack of affordable housing in England.”

Ben Fry, investment manager of ReSI Capital Management, and head of housing investment at Gresham House, said: “We are pleased to have worked with Orbit to achieve this mutually beneficial outcome, and look forward to working with them further to help support their ambitious investment proposals given that rising demand and historic undersupply, means a growing need for affordable housing. With 94% of affordable housing currently provided by not-for-profits there is clear opportunity for ReSI to help.”

The transfer brings ReSI's total shared ownership portfolio to 549 homes.

Orbit was supported by Jones Lang Lasalle and Clarke Wilmott throughout the process.