The decision was, presumably, music to the ears of the activist investors that had been demanding changes at Countryside Properties — that the company plans to sell its private housebuilding business to focus on mixed-tenure developments, those that include affordable homes, properties for institutional private rental and homes for private sale. It was already heavily tilted towards partnership work anyway, but not enough in the view of Browning West, a Los Angeles-based hedge fund, and David Capital, a Chicago-based investment manager.
Targeting the underserved affordable housing market has its merits. The chief benefit is that housing associations and private rental operators stump up more of the capital to fund the development, which means housebuilders have the opportunity to make higher returns on capital, even if
