Patron Capital has launched a new affordable housing joint venture with Oak Housing and its shareholders Bmor and T&B Capital. The joint venture is looking to acquire up to £100 million of assets, with a target investment size of between £10 and £20 million.
The JV will initially focus on London boroughs where there is a lack of good quality homeless accommodation and affordable housing and will will look to acquire suitable property to convert for general needs homelessness, temporary housing, section 106, keyworker and shared ownership opportunities.
The first acquisition is Kings Paget Hotel in West Drayton, Hillingdon, west London, a 14,000 sq ft former hotel bought for £4 million. It is to be refurbished and repurposed for use as high quality affordable housing.
The joint venture has been advised by Cap Real Estate, a specialist real estate funding advisory business based in London.
“With more than 84,000 households in temporary accommodation in England and 1 in 53 people in London impacted by homelessness, it has never been more important to align our business activity with the needs of those around us, and we look forward to working with Oak as we build our portfolio in this space,” Patron Capital managing director Keith Breslauer said.