London & Quadrant Housing Trust (L&Q) has completed the £1.045bn sale of its private rented sector business, Metra Living, to an investment fund managed by Morgan Stanley Real Estate Investing (MSREI) in partnership with Ridgeback Group.
The transaction marks a major milestone in L&Q’s long-term strategy to simplify its operations, strengthen its balance sheet and focus on its core role as a social housing provider.
Metra Living owns and manages around 3,200 homes across Greater London. The deal includes the transfer of the business’s operational platform, employees and approximately £300m of external debt facilities.
L&Q first announced plans to sell the portfolio in November 2024, with the MSREI-Ridgeback partnership selected as preferred bidder in June 2025 following a competitive tender process.
FUTURE INVESTMENT
The housing association says the sale will help support future investment in both existing and new homes across Greater London and Greater Manchester, while ensuring residents continue to receive services from a specialist private rented sector landlord.
Fiona Fletcher-Smith, Group Chief Executive Officer of L&Q, says: “The sale of Metra Living is a key milestone in delivering our long term strategy, and we’re extremely pleased to have reached this agreement with MSREI.
“We’re proud to have grown a successful PRS business since 2015, but we have a clear strategy to simplify our business and focus on our core purpose as a social housing provider.
“This sale further strengthens our financial resilience, supporting our long-term drive to invest in new and existing homes across Greater London and Greater Manchester.
“Recent government measures have brought much-needed investment and financial certainty to the housing sector. This sale puts us in the strongest position to maximise these opportunities, and deliver our strategy from a position of financial strength.”
SCALED PLATFORM
Shamik Narotam, Managing Director at MSREI, adds: “We are pleased to complete this transaction with L&Q and to partner with Ridgeback on the acquisition of Metra Living.
“Metra Living is a high-quality, scaled platform in a supply-constrained London market, and we look forward to building on its strong foundation and supporting its continued growth.”
George Bossom, Partner at Ridgeback, says: “We are delighted to complete this acquisition with MSREI.
“This investment further reinforces our conviction in the UK PRS sector, where strong structural demand and a continued shortage of high-quality rental housing support attractive long-term fundamentals.”
The deal was advised by BNP Paribas and BNP Paribas Real Estate on behalf of L&Q.
