Housing market

Japan's biggest housebuilder moves into UK housing market

Japan’s biggest housebuilder Sekisui House is moving into the UK housing market after agreeing a multi-million-pound deal to deliver new homes across England.

The investment will result in new housing stock using modern methods of construction.

The £90m deal comprises a total new investment of £55m into regeneration company Urban Splash’s house development business.

Sekisui House has invested £22m of new equity, with £30m of equity and debt funding coming from the government’s Home Building Fund, which is administered through Homes England.

The deal will also see Sekisui House take a 35% equity stake in Urban Splash’s modular house business, while Noel McKee, founder of We Buy Any Car, has also made an investment in the new partnership and will take a stake of around 5%.

Yoshihiro Nakai, president and representative director at Sekisui House Ltd, said: “We are extremely pleased to be able to work together with Homes England and Urban Splash to establish our operations and help to create outstanding communities in the UK.

“Using modern methods of construction to build high-quality homes with short build times is one of our company’s great strengths. 

“Our technology and know-how can help resolve pressing social issues in the UK, and I want to see us play our part effective immediately. 

“These operations can also help bring vitality to UK regions, and we will work to make the strongest connections with the local communities.”

Kit Malthouse, housing minister, added: “Sekisui House brings with [it] a proven track record in harnessing the modern methods of construction that are transforming home building.

“Backed by government investment, [this] announcement will support our urgent mission to deliver more, better and faster home construction to ensure a new generation can realise the dream of home ownership.”

Tom Bloxham, chairman at Urban Splash, stated: “We believe that there is a real opportunity in the UK housebuilding industry. 

“We hope to leverage our 25 years of place-making experience and our recent investments into modular housing by bringing in new partners; having looked far and wide we chose Sekisui House from Japan because of the company’s unrivalled global experience in modular construction and shared values and philosophy that we are making homes not units, and a joint belief in the need for a green future.”

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