An unnamed “major” institutional investor has purchased the freehold of five operational Audley Villages across the UK.

This constitutes a total of 550 properties, ranging from 25 years old to having recently opened.

The deal sees Audley Group enter into a 50-year lease on the five sites, retaining their operational management duties and offering continuity to owners.

At the same time, the aim is this will provide inflation-linked income back to the investors.

After 50 years have passed, Audley Group will purchase the villages back for £1.

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Nick Sanderson, founder and CEO at Audley Group, said the “innovative structure” of the deal highlighted the opportunities on offer in the space.

“The attention on the sector is growing as its ability to alleviate challenges in both the housing and care sectors as our population continues to age become more widely acknowledged,” said Nick.

“Increasing supply is critical to help a greater number of people live long and healthy lives, while aligning with increasing institutional appetite.

“We look forward to continuing to realise this ambition with forward thinking investors that understand the importance of funding solutions that will in turn unlock future development.”