CPP has committed £500m to the JV, with Kennedy Wilson contributing £56m. The ownership will be split 90% and 10%, respectively. This collaboration will see both firms partner with housebuilders, targeting energy efficient, new-build housing stock.

The JV has been seeded with two developments sourced by Kennedy Wilson, being constructed by Barratt Redrow and Miller Homes in Norwich and Stevenage respectively. Kennedy Wilson is already leading the first phase of completed homes in the Norwich site.

Additionally, Kennedy Wilson has an active pipeline of over £360m with 1,100 units. This has the capacity to reach 4,000 units at full deployment.

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“Private capital can play an important role in addressing the current undersupply of high-quality rental housing in the UK, particularly where it is professionally managed to provide a great customer experience,” said Tom Jackson, head of real estate (Europe) at CPP Investments (pictured above).

“Investing into the UK single-family housing sector aligns well with our broader real estate strategy, to undertake scalable investments into high quality assets with growing cashflows.”

Mike Pegler, president of Kennedy Wilson Europe, added: “The structural challenges facing institutionally managed rental housing in the UK provides a clear investment rationale to enter the market and leverage our deep experience in the sector.

“We are actively seeking opportunities to grow our portfolio, which offers substantial scalability potential in the UK, driving consistent risk adjusted returns in this high-conviction subsector.”