SME Housebuilder Backhouse has obtained £50 million from Cheyne Capital to pursue its target of building 500 homes a year by 2022.
The investment came in the form of a joint venture with Cheyne Real Estate Credit Fund V – Opportunistic.
Rob Turner of Cheyne Capital will become a non-executive member of Backhouse’s board along with Richard Jones and Anthony Henry-Lyons, former advisers to the company.
Turner said: “We are excited to be supporting another high-quality housebuilding business in the UK and this investment is testament to what the Backhouse team has already achieved.
“This joint venture once again demonstrates Cheyne’s ability to provide innovative, flexible and bespoke financing solutions to organisations focussed on increasing the supply of mid-market housing in the UK with strong management teams and robust growth plans.”
Rob Turner of Cheyne Capital
The founder of the company, Theodore Backhouse highlighted the growth opportunities the fund will provide.
He said, “There is a fantastic opportunity for SME housebuilders to grow as the UK looks to achieve its ambitious housebuilding targets, and we are delighted to be working with Cheyne Capital as we embark on a phase of significant growth.
“We believe this partnership and our design-led ethos will pay dividends as the market sees new build volumes grow and choice increase for buyers.”
Prior to this investment, Backhouse had been involved in joint ventures with the Housing Growth Partnership on two of its sites in Castle Cary and Westbury.