The social housing team at Anthony Collins advised Hertfordshire-based B3Living on the successful acquisition of 250 social homes from Orbit Group, as part of the sector’s ongoing consolidation.
The homes acquired by B3Living mainly comprise social rents and are all located in East Hertfordshire and Epping Forest in Essex. The transaction is part of B3Living’s ongoing strategy to expand its portfolio of 6,000 plus affordable and social homes in its wider locality. Jonathan Cox, partner and head of the social housing team at Anthony Collins, said:
“This is a significant deal for B3Living as it represents a near 5% increase in its housing stock and extends the organisation’s footprint.
“The fact that the transfer has taken place at a time when housing associations are facing extreme challenges in the form of cost increases, underfunding, and increasing regulatory pressures, shows just how important economies of scale and geographical considerations have become. The transaction could also help to unlock investment opportunities.
“Before the acquisition completed, B3Living was a leading provider of social housing in the area and the transfer further cements this position of strength.”
Merger and acquisitions are prevalent in the social housing sector, and this is expected to continue. As well as bringing opportunities for economies of scale, they often have a positive impact on tenant services due to improved resource allocation and opportunities for capital investment. For advice about mergers and acquisitions in the sector visit: www.anthonycollins.com.