Senior Living Investment Partners (SLIP), a partnership between Pension Insurance Corporation and Octopus Real Estate, has announced a multi-site joint venture with Audley Group to develop up to four new retirement communities.
In total, SLIP aims to house up to 2,000 people in the coming years across 10 Integrated Retirement Communities and deliver c.£1billion in GDV into the sector. The joint venture with Audley will create 600 new retirement units across four new villages, the first of which will transform the historic Headley Court in Surrey.
The Audley Village at Headley Court will consist of 112 apartments, providing much-needed specialist accommodation for the local area. It will safeguard the future of the Grade II listed mansion and restore the extensive landscaped grounds, which will be made available for the local community to enjoy for the first time in its history. The Village will also include the Audley Club, a high-quality health and well-being experience for those in the local area aged 55 and above, as well as a restaurant.
Other villages to be developed by the multi-site JV will include both Audley and Mayfield sites. Mayfield villages, also part of the Audley Group, are designed to bring high-quality retirement living to a much wider audience and give more people more choice over how and where they live as they get older.
PIC’s investment strategy focuses on sectors which seek to address the lack of accommodation in the UK across the demographic spectrum. This includes temporary accommodation to aid those at risk of homelessness, social housing, build-to-rent and retirement living.
Against a backdrop of undersupply and increasing demand, driven by a growing ageing population, SLIPS’s primary objective is the development of a portfolio of new, high-quality, retirement communities nationwide.
Max Cawthorn, head of PIC capital strategy, said: “Our joint venture with Octopus Real Estate continues to make excellent progress in helping to meet the twin challenges of an ageing population and an undersupply of appropriate housing. The calibre of Audley Group and its long experience in the UK retirement market make it a perfect partner for Senior Living Investment Partners. Through our relationship, we will help address these societal issues while also providing long-term, secure investments which underpin the pensions we pay to our policyholders.”
Nick Sanderson, founder and chief executive of Audley Group, said: “The demand for retirement villages is only growing. Octopus Real Estate and PIC have recognised the opportunity in the retirement space and it’s wonderful to see a new JV with dedicated capital to grow the sector.”
“We have been working with JV partners for some time; it allows us to execute the model in a less capital-intensive manner, which in turn means we can accelerate the delivery of these much-needed villages. Headley Court is a truly unique site, rich in both history and beauty. We look forward to working with SLIP to deliver another first-class retirement village.”
Kevin Beirne, head of retirement at Octopus Real Estate, said: “We are delighted to build on our relationship with Audley Group in creating this new JV vehicle to develop a very exciting pipeline of IRCs. This JV will deliver 600 new retirement units across four sites and provide much-needed growth of the UK retirement living market for older people, as well as facilitating the increased availability of family homes.”
“The IRC proposition goes far beyond just high-quality real estate. IRCs provide an investment opportunity to deliver strong and sustainable returns while delivering unique impact through improved lifestyle and well-being for our ageing population.”
