Citu a leading, sustainable developer and place creator has announced a significant new partnership with The Urban Splash Residential Fund (USRF), and its Investment Adviser SURE Capital Partners, signing a Memorandum of Understanding (MoU) worth £200m.
The partnership marks an important marker in Citu’s growth plan that supports a movement to showcase that sustainable, future facing places and homes can be accessible for all. This is USRF’s second partnership, following a similar agreement with award-winning regeneration company Urban Splash. The memorandum of understanding covers 600 homes with opportunity to grow, and includes an initial purchase of 52 Citu homes within the Climate Innovation District, Leeds and Kelham Central, Sheffield. Both developments follow Citu’s placemaking principles creating resilient, green, mixed-use neighbourhoods of low energy homes, and building through placemaking focused on people and communities.
Yorkshire-born Citu is renowned for its innovative and eco-conscious developments across the UK, creating homes that work to Passivhaus principles, making them approximately 75% more energy efficient than a traditional home in the UK. Citu’s homes are also manufactured locally in its Yorkshire factory, using modern methods of construction (MMC) that substantially lower carbon emissions with an emphasis on quality and assurance.
The company is redefining urban living in Yorkshire through innovation and sustainability. With a commitment to creating homes and communities which are designed beautifully, are environmentally responsible and socially vibrant. Diversifying the tenures available in these places and providing a quality rental offering in an exciting next step in Citu’s journey as Jonathan Wilson, Managing Director at Citu, explained: “This partnership marks a significant step forward for Citu, and we are delighted to have found an aligned partner with the right expertise and ambitions to join us on this journey.
Citu is passionate about building and place sustainability. The deal will help Citu, a growing Yorkshire SME, further expand its reach while giving USRF the opportunity to offer sustainable living solutions to families across the county.
The move diversifies USRF’s portfolio, adding single-family homes to its offering, as well as expanding its footprint in Yorkshire following its acquisition of East Street Mills in Leeds last year. Akeel Malik, Partner at SURE Capital explained: “This deal connects capital with regeneration, allowing us to play a pivotal role in creating vibrant new neighbourhoods. Leeds and Sheffield are exciting, transformative cities where people want to live, work, and play, and we’re proud to help drive that change.
“Our mission is to cultivate a portfolio of design-led homes for renters—an approach that aligns perfectly with Citu. We have found the ideal product in their award-winning homes and communities.”
SURE Capital Partners is an entity that connects capital with best in class developers – first Urban Splash and now Citu. Tom Bloxham MBE, also Partner at SURE explained: “SURE has investors ready to commit to design-led homes. It’s a concept that’s been proven with Urban Splash and now with Citu.
“I have long been an admirer of the regeneration work undertaken by Chris and Jonathan and team at Citu and was very pleased to see this deal close. This is another example of how SURE Capital is bringing UK and international institutional capital to work supporting the very best UK SME developers like CITU, Urban Splash and Javelin Block – with whom we completed a deal last year in Birmingham. This deal will both bring good returns to our investors and help fund much needed new sustainable homes and regeneration in UK regions.”
