A 50/50 joint venture between The Hill Group and housing association, Peabody, has agreed a partnership with Goodstone Living to deliver 360 Build to Rent (BtR) homes at Dagenham Green.
The BTR apartments will form part of the first phase of the regeneration of the former Ford Stamping Plant site into a mixed-use neighbourhood which is currently under construction. The JV partnership is to deliver the first 935 home phase of the Dagenham Green scheme.
Once complete, Peabody’s wider masterplan will provide over 3,500 new homes and extensive placemaking, public realm and amenities, transforming the East London location into a sustainable community for modern living.
This new project partnership with real estate developer and investment manager, Goodstone Living, in a deal valued at £116million marks one of the largest deals in the BtR sector this year. The deal highlights Hill’s expanding footprint in this market and Peabody’s aspirations to do more BtR as part of its mixed tenure, mixed-use approach to sustainable placemaking and regeneration.
The project is Goodstone Living’s third development on behalf of its first managed investment vehicle, Goodstone Living Partners 1 (“GLP1”), capitalised by Macquarie Asset Management and the Northern Local Government Pension Scheme (“Northern LGPS”). GLP1 will now have approximately 1,300 ‘next generation’ Build-to-Rent homes under construction across Edinburgh, Birmingham, and now London.
Situated within the first phase of 935 homes at Dagenham Green, the BTR homes will offer a range of one, two, and three-bedroom apartments across three residential buildings ranging from 14 to 18 storeys. The development is located near Dagenham Dock train station, providing direct access to central London in about 20 minutes.
The project will feature extensive amenities, including fitness and co-working areas, a concierge service, private dining spaces, and two landscaped podium gardens that overlook a new urban park. Sustainability is a key element, with the rental homes aiming for high environmental performance, including energy-efficient systems and green building certifications such as EPC B, WiredScore Platinum, and Fitwel 3-star ratings.
The wider 45-acre masterplan developed by Peabody for Dagenham Green includes an urban park, a lake, children’s play areas, community gardens, and other green spaces that enhance biodiversity and provide ample opportunities for recreation. Key infrastructure such as a new secondary school, medical centre, community hub, and a market square will further support the growing neighbourhood.
Andy Hill OBE, founder and group chief executive of The Hill Group, commented: “We are delighted to agree this significant Build-to-Rent deal in partnership with Goodstone, as we actively seek to grow our rental pipeline. We have the vision to create an inclusive and welcoming community at Dagenham Green with high-quality homes across all tenures. These BtR homes will provide excellent amenities, connectivity and a ready-made community, ticking all the boxes for discerning renters.”
James McMylor, managing director for London North at Peabody, commented:
“At Peabody, we are committed to making a positive impact by providing high-quality, affordable homes in thriving communities. We’re pleased to see the first phase of our Dagenham Green masterplan coming to fruition, reflecting our approach to sustainable regeneration and inclusive growth. This partnership with our partners Hill and Goodstone will bring significant benefits to the local community as a part of a wider vision to regenerate East London and ensure that affordable living is a reality for everyone.”
Iliya Blazic, chief executive officer of Goodstone Living, said: “Goodstone’s investment in Dagenham Green demonstrates our strategy to deliver much-needed, high-quality rental housing in key regeneration areas on behalf of our institutional capital partners. We are committed to creating sustainable communities where residents can thrive and this project reflects our focus on providing attainable rental housing with a tailored resident proposition, excellent transport connectivity and a mixture of functional, useable amenity space, all operated within an efficient and integrated management platform.”
Kevin Etchells, head of real assets at Greater Manchester Pension Fund on behalf of the Northern LGPS, said: “We are delighted to partner with Goodstone Living on this new project to deliver 360 much-needed new residential homes in East London. The UK has a significant undersupply of housing and the Northern LGPS Pool partners are proud to contribute to help solve this crisis.”
“This partnership is a fantastic example of the opportunity for local government pension capital to partner with sector-specialist groups, such as Goodstone Living, to deliver new homes at attainable rents, while also generating community social value and attractive risk-adjusted returns for our members.”
