Property construction work is now underway in Middleton St George, Darlington. Maven Capital Partners (Maven), a leading UK property and private equity manager have raised £6.26 million to fund Oak Meadows, a new-build home development containing 61 family homes in conjunction with Calmont Homes (Calmont).
While planning permission was granted in 2019 the £15.8 million property development is scheduled for completion by 2024. It will include modern three to five-bedroomed homes, ranging from 950 square feet to 1,850 square feet.
Residential property demand
Since March 2020, roughly 54,176 new-build homes have sold across Britain. This totals 6.9% of the transactions during this period. With so many buyers across the country interested in residential properties, the Oak Meadows properties are likely to receive quick sales shortly after completion.
Despite the Covid-19 pandemic, the UK housing market has flourished throughout 2020 and 2021. People's priorities have changed as a result of the pandemic. Many are now searching for bigger homes that allow them to live and work comfortably. Government assistance through furlough and the stamp duty holiday has helped people achieve these house purchases. According to recent statistics, a 20% growth rate in house prices over the next five years in the North East is expected.
The market town of Darlington is only four miles from the Maven development. The proximity to the town has many advantages that residents will benefit from. Easy access to public transport links, job opportunities and shops are some, to name a few.
Paul Johnston, partner at Maven, states: “We are delighted to partner with both Calmont and Tier One again, having worked successfully with each of them on previous projects. This is a unique development in Middleton St George which I’m sure will be well received by home purchasers and we look forward to seeing the development progress.”
Fund manager at Property Backed Lending Trust (PBLT), Brendan O’Grady, adds: “There is a real vibrancy about the town following announcements of government departments moving to Darlington as part of the government’s levelling up ambitions alongside the well-documented investment being made into Teesside Airport, which is generating great interest and attracting people to the area who will be looking for high-quality modern homes.”
The Maven Capital Partners transaction
The transaction includes a £1.76 million fundraise from Maven Investor Partners, together with a £4.5 million debt facility from PBLT, managed by wealth management and property lending specialists, Tier One Capital (Tier One). PBLT is a London Stock Exchange-listed investment company that has supported commercial and residential property developments across North East and Scotland.
Director at Calmont, Ben Hall, says: “Thanks to this investment by PBLT, arranged by Tier One, we are able to bring high quality, bespoke family homes to this lovely tree-lined site. The properties will be marketed through the well-established local agent Nick Carver.”
Fund Manager at PBLT, Brendan O’Grady, adds: “We’re really pleased to confirm this substantial funding for Calmont and Maven. We are delighted to have partnered with Maven again as we continue to provide our shareholders with investment opportunities presented by strong, credible and experienced management teams.”
The rise of new residential properties
Maven is no stranger to successful developments with property and project management group Calmont. Maven and Calmont converted a vacant building in Glasgow into a 137-bedroomed ibis Styles hotel. The duo also developed purpose-build student accommodation at 333 Bath Street that sold for £7.45 million.
New developments such as Oak Meadows will provide much-needed new homes in popular residential areas. With a growing waiting list of people looking for new homes, this is exactly what the current housing market desires.