Q&A with BTR News
08/08/2022
Author : Mary-Anne Bowring
Introduction: The Role of Ringley Group in the Build to Rent (BTR) Sector
Ringley Group, founded in 1997, has grown into a multi-disciplinary property group with a diverse range of expertise spanning block management, investment, building engineering, planning, and law. With £6 billion in assets and over 13,000 homes under management, Ringley has solidified itself as a leader in residential real estate. The company’s expansion into the Build to Rent (BTR) sector is a natural evolution of its existing services, further demonstrating its capacity to provide end-to-end solutions for real estate investors and developers.
A New Approach: Ringley as a Strategic Operational Partner
Many still associate Ringley with traditional block and lettings management. However, the company’s scope goes far beyond this. Ringley now operates as a fully integrated, one-stop-shop partner for all sectors of living real estate, with BTR being a pivotal part. As Mary-Anne Bowring, Group Managing Director, shares, Ringley’s services span from investment strategy and site finding to asset management, block management, leasing, and stabilisation. Through over 25 years of expertise, Ringley fills crucial gaps in asset management teams, often offering early-stage support to clients like Moda Living, helping them navigate the complexities of the rapidly growing BTR market.
The Drive Into Build to Rent: What Prompted the Move?
Ringley’s move into BTR was primarily driven by its commitment to partnership and value creation. The company recognized the need for a vertically integrated approach to real estate investment and operational management, a strategy that many BTR investors were starting to pursue. With this in mind, Ringley works closely with clients to design, implement, and optimise investment strategies, asset management plans, and operational workflows. This approach ensures that Ringley helps its clients boost returns through improved construction costs, carbon reduction strategies, and the maximisation of rental premiums, all while providing seamless operational management.
The Role of Technology and Automation in BTR
Tech plays an essential role in Ringley’s BTR strategy. The company developed PlanetRent, an innovative rental platform that automates operational processes, providing clients with real-time insights into asset performance and customer data. This platform, integrated with robotic accounting systems, offers over 85 key performance indicators (KPIs), which have significantly improved operational efficiency. For instance, some clients have seen a 50% reduction in arrears, a £220,000 decrease in operational costs, and an 8% growth in gross to net, all within just a few months of using PlanetRent.
The Importance of ESG in Ringley’s BTR Approach
Environmental, Social, and Governance (ESG) considerations have become increasingly important in the real estate sector, and Ringley is no exception. The company offers an ESG consultancy team embedded throughout the lifecycle of its projects, providing tailored strategies in design, operation, retrofit, accreditation, and decision-making. By aligning with key performance standards like BREEAM, WELL, WiredScore, and Fitwel, Ringley ensures its clients are meeting industry benchmarks. Importantly, Ringley’s extensive experience helps clients achieve these ESG goals without significant financial strain, providing invaluable guidance on how to reduce carbon emissions and improve sustainability while maintaining profitability.
Key Projects and Future Growth in the BTR Market
Ringley’s BTR portfolio continues to expand, with the company managing 1,500 units and an additional 2,500 in the pipeline. With clients like Europa Capital, Long Harbour, Patrizia, and Rise Homes, Ringley’s footprint spans the UK, with a focus on regional growth opportunities. Some of the company’s most notable achievements include delivering cost-saving strategies that have resulted in significant financial improvements for investors, such as reducing operational costs by £220,000 and increasing rent by 4-8%. Ringley’s continued success in providing tech-driven solutions and expert ESG strategies positions it as a key player in the ever-evolving BTR landscape.
Ringley Group’s holistic approach and dedication to innovation and sustainability ensure that its BTR partnerships will continue to thrive, shaping the future of residential real estate management in the UK and beyond.
Under Offer: This term applies to a property where the landlord is considering an offer but remains on the market. It implies that further offers may still be considered until the landlord formally accepts or declines the current offer.
Let Agreed: This term indicates that a landlord has provisionally agreed to enter into a rental agreement with a prospective tenant, pending additional checks and referencing. It doesn't require the prospective tenant to have paid a holding deposit.
Let: This term signifies an established binding rental agreement between the landlord and tenant.
For both lettings and sales, the guidance addresses additional terms:
New On The Market: This term is used for a property not advertised since its last sale or rental. It should only be used for a brief period.
New Instruction: It applies to a property assigned to an agent for marketing recently, even if it was previously listed with another agent without being sold or rented.
New and Exclusive: This term refers to a property that is either new on the market or a new instruction, exclusively available through a specific agent or portal.
New Method of Sale/Let: This term is used when a property is being marketed for sale or rent using an alternative approach to the original advertisement, such as transitioning to an auction or sealed bid.
Reduced: This term indicates that a property's price has recently been reduced. The reduction should be genuine and comply with the Chartered Trading Standards Institute's guidelines on pricing practices.