Sigma Capital Group agrees £268m debt facility with Morgan Stanley

The new facility has been established to refinance a newly-completed portfolio of c.1,400 homes drawn from Sigma’s wider portfolio of c.4,500 homes across the UK.  

The homes - predominantly single family homes - are located across 18 sites throughout the UK, outside of London. Sigma’s rental platform, ‘Simple Life’, which currently manages over 3,000 homes nationwide, is responsible for the marketing, letting and ongoing management of the new rental homes. The portfolio has a market value in excess of £400 million and all the homes remain on Sigma’s balance sheet.  

A number of lenders took part in the lender selection process, demonstrating strong institutional investor demand for UK BTR single family homes. Laurus Property Partners provided additional support to Sigma’s in-house team. 

Sigma said the new debt facility provides it with an enhanced capital structure, supporting the group’s long-term strategy of delivering high quality, professionally managed homes at scale.  

Mike McGill, group finance director of Sigma Capital Group, said: “We’re delighted to have established this important new relationship with Morgan Stanley. It supports Sigma’s ongoing growth as a leading provider of BTR single family homes for institutional landlords in the UK. We have delivered some of the largest portfolios of new rental homes in the  UK and are in the process of completing more, which takes our current delivery to around 13,500  new rental homes.” 

Mike Scott, group legal counsel at Sigma Capital Group, added: “Working with Morgan Stanley has been a great experience. The team brought a pragmatic, solutions-driven mindset and was consistently commercial throughout. Their collaborative  approach meant that the facility was delivered on time and within budget, and we look forward to  building on this new relationship as Sigma continues to scale.”