High street banking giant Lloyds has significantly expanded its footprint in the UK's private rental sector, quietly building a multi-billion pound property portfolio through its dedicated housing division.
A Major Landlord in the Making
Through its Lloyds Living arm, the bank has assembled a £2 billion portfolio of rental properties. The division, which was launched in July 2021 under the original name Citra Living, now manages approximately 7,500 homes across 42 developments nationwide.
The bank has revealed an ambitious growth strategy, aiming to add a further 43,000 properties to its books by the end of the decade. This would bring its total holdings to around 50,000 homes, positioning Lloyds as one of the country's largest institutional landlords.
Strategy and Market Impact
The homes range from one-bedroom apartments targeted at young professionals to four-bedroom houses designed for growing families. Locations are selected based on access to amenities, transport links, and the quality of the local community.
Matthew Burgess, Chief Investment Officer at Lloyds Living, commented on the strategy: "This new deal is another significant step in our growth journey. The secondary market for PRS (Private Rented Sector) portfolios is still in its infancy but is vital to the wider success of the sector." He added that the acquired homes provide "quality living in places people want to live, work and grow their families."
Sustainability and Future Plans
A spokesperson for Lloyds Bank stated: "We are pleased with the significant progress made to grow the Lloyds Living business since its launch in 2021... it is helping to increase access to good quality, affordable housing nationwide and is already contributing significantly to the group’s diversified income streams."
The bank has also emphasised a commitment to sustainability, noting that all its properties are designed with energy efficiency and green living as core principles. This large-scale move into the rental market represents a strategic shift for the Birmingham-based bank, traditionally known for its high street branches and mortgage lending, as it seeks new revenue streams in the competitive housing sector.
