Octopus Real Estate enters Affordable Housing market
Octopus Real Estate has announced today its entrance into the UK Affordable Housing market. It aims to accelerate the delivery of high-quality, genuinely affordable homes working in partnership with Housing Associations and Local Authorities.
The Affordable Housing sector currently faces several challenges, including the cost burdens of adopting net zero targets and complying with enhanced building safety regulations. Octopus will work with Housing Associations to help alleviate these pressures by providing long-term, patient capital to the sector to fund the delivery and long-term ownership of new homes.
To support its move into the sector, Octopus has acquired a Registered Provider (RP) of Social Housing, and will operate a direct let model – rather than lease-based – to ensure a fair sharing of risk with its partners.
The acquisition of the RP will ensure Octopus is subject to appropriate regulatory oversight and enables the company to draw on grant funding to support the delivery of new homes.
Octopus has appointed Elizabeth Austerberry as the Chair of its Registered Provider. Austerberry joins following her retirement as CEO of Moat, a 20,000-home Housing Association which she has led since 2013. She previously held senior roles at EY, Bank of Scotland, BNP Paribas, and Savills, as well as National Housing Federation.