Lloyds Banking Group has launched Citra Living, a vehicle to enable it to become a major player in the private rental sector and expand the availability of quality and affordable homes in the UK.
One in five UK households rent privately and demand is set to increase over the next five years. Changes to the regulations and tax rules will force many traditional private landlords to leave the market and this will affect the supply of rental properties.
Citra Living will focus on buying and renting good quality newly built properties, with its first completed development Fletton Quays in Peterborough, where 45 apartments became available for rental from August. It aims to acquire 400 properties by the end of 2021, doubling this number next year.
Strategic partnerships with housebuilders will identify sites and support the building of additional housing, with Citra Living buying the rental element of these new developments.
The properties will provide modern, good quality homes to meet the demands of a growing rental market. They will be within easy reach of local transport, amenities and leisure facilities.
Citra Living is a standalone brand of Lloyds Banking Group and will focus solely on the rental market. The group already supports the housing market as one of the biggest mortgage lenders to first time buyers, home movers and private landlords. It has provided £40 billion in mortgages to first time buyers since 2018.