A new private rented sector (PRS) developer called Inhabit has launched with a portfolio of seven sites that are to be developed into 3,500 homes for rent.
The company, which is funded by various international investors and led by former hotelier Ana Nekhamkin, is also looking for new sites and is prepared to forward-fund other developers as well as develop itself. Its ambition is to build a PRS portfolio spread across the major UK regional cities worth more than £1bn.
Planning permission has been granted or is expected imminently on six of the seven sites, which are spread across Manchester, Liverpool, Leeds, Glasgow, Aberdeen, Birmingham and Bristol.
In the coming months, Inhabit will start construction in Manchester, with a view to developing the remaining sites soon afterwards, so that all seven are built out in two to three years.
Nekhamkin said Inhabit would be pitched at the premium end of the market, mainly by virtue of its city centre locations rather than the range of amenities.
“We’re not going for luxury, but we will have high-quality apartments,” she said. “We’re not looking to replicate the amenities in the US. There is a change in people’s aspirations in the UK, but people do still want to own.
“If you’re asking them to pay an extra £1 in rent, that’s £1 that you’re taking away from their future house, so you really have to justify it. You have to offer value for money.”
In practice, this means that Inhabit’s flats will have a concierge offering a basic range of services and gyms if there are none nearby.
Nekhamkin said Inhabit would also resist pushing the brand too hard and aim to offer tenants flexibility and choice. For example, flats will be individually decorated without imposing brand colours or motifs, and tenants will be free to repaint walls.
“We don’t want people to feel as if they’re living in a brand,” said Nekhamkin.
As the company builds out its development sites over the coming year, it will it will also be recruiting to establish its operating team.
“We’ve a long-term perspective,” said Nekhamkin. “Our intention is to own and operate the portfolio, not indefinitely, but for some time.”