Aviva Capital Partners and Moda Secure Over £200 Million to Deliver Nearly 1,000 Build-to-Rent Homes with 20 Percent Affordable Units in Digbeth

Aviva Capital Partners and Moda Secure Over £200 Million to Deliver Nearly 1,000 Build-to-Rent Homes with 20 Percent Affordable Units in Digbeth

(IN BRIEF) Aviva Capital Partners and Moda Group, in partnership with NatWest, Homes England, and the WMCA, have secured over £200 million to develop Stone Yard, a build-to-rent community in Digbeth, Birmingham. Phase one will deliver 605 high-quality rental homes across four blocks, supported by debt financing and WMCA brownfield grants that raise affordable housing to 20 percent of units. A future phase will add three additional blocks, bringing the total to 995 homes. This project follows a Strategic Place Partnership between Homes England and the WMCA, with Homes England contributing approximately £40 million. Stone Yard emphasizes social and environmental sustainability, aiming for Fitwel, Home Quality Mark, and BREEAM certifications. Residents will enjoy extensive amenities and community spaces, managed by Moda Group and built by Caddick Construction, with completion of the first phase slated for 2028. Located on a four-acre site in Digbeth’s creative quarter—near the Custard Factory and upcoming HS2 Curzon Street Station—the development integrates affordability, connectivity, and high-quality design to support urban regeneration.

(PRESS RELEASE) LONDON, 7-Jul-2025 — /EuropaWire/ — Aviva Capital Partners and Moda Group have finalised a transformative investment package alongside NatWest, Homes England, and the West Midlands Combined Authority (WMCA) to bring a 1,000-home build-to-rent community to life in Digbeth, Birmingham. The £200 million-plus funding agreement for the Stone Yard development highlights how public-private partnerships can drive urban regeneration by delivering high-quality new homes.

The financing structure features senior debt from NatWest and Homes England’s Home Building Fund, underpinning phase one of the project: four residential blocks comprising 605 premium rental apartments. Additional brownfield grant support from the WMCA has allowed the team to boost affordable housing to 20 percent of the total units, offered at Discounted Market Rent and distributed throughout the scheme to foster inclusive, community-led renewal.

Subsequent phases will add three more blocks, taking Stone Yard to 995 homes in total. Last year’s Strategic Place Partnership (SPP) between Homes England and the WMCA laid the groundwork for this development, aligning ambitions for locally driven housing growth across the East Birmingham & North Solihull corridor, with Digbeth serving as its vibrant core. Homes England has contributed roughly £40 million in debt financing to date.

Environmental and social sustainability are central to Stone Yard’s design, which targets leading certifications such as Fitwel, Home Quality Mark, and BREEAM. Residents will benefit from extensive amenity spaces—including co-working areas, round-the-clock gyms, studio spaces, lounges, and private dining rooms—alongside community assets like commercial venues and landscaped public realms that tie into Digbeth’s creative quarter.

Moda Group will oversee the buildings and public spaces, leveraging its signature focus on service, cutting-edge technology, and resident wellbeing to cultivate a professionally managed, diverse community. Construction is already underway through Caddick Construction, Moda’s sister company, with phase one expected to complete in 2028.

Situated on a prominent four-acre brownfield site on Deritend Road, adjacent to the Custard Factory, Stone Yard lies opposite the future HS2 Curzon Street Station and the Eastside Metro extension. By combining affordability, sustainability, and connectivity, this development is poised to reinforce Digbeth’s emergence as a thriving, inclusive neighbourhood ready for the future.

About Aviva Capital Partners

• Aviva Capital Partners (ACP) is Aviva’s in-house capital unit that invests Aviva’s capital to open up new opportunities for UK growth: helping develop thriving, sustainable communities, while generating long-term returns for our customers.
• ACP invests in urban regeneration projects, housing projects and sustainable infrastructure projects. It invests in the early stages of projects, creating optionality for ongoing investment by the wider Aviva business. ACP investments exemplify Aviva’s sustainability ambition, creating impact across the UK.
• For more details on ACP, visit Aviva Capital Partners.

About Moda Group

• Moda Group is a leading developer, investor and operator in the UK rental living sector, working with global institutional capital across the BTR, PBSA and single-family markets to provide exceptional living experiences.
• With £2bn of assets under management and a further £1.1bn of homes under construction, Moda Group provides a full range of integrated services to source, deliver and operate market-leading homes across the UK with a focus on service, design, technology and sustainability.

Notes to editors:

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Media Contacts:

Aviva Capital Partners

Joe Booth
+44 (0)7800 698 836

Claire Jermany Grange
+44 (0)7385 148681

Moda Living

Emma Shone
+44 (0)7538 555 332

SOURCE: Aviva