A major investment deal has been finalised to deliver nearly 1,000 high-quality rental homes in Digbeth, Birmingham.

Aviva Capital Partners and Moda Group have partnered with NatWest, Homes England, and the West Midlands Combined Authority (WMCA) to fund the £200m+ Stone Yard development—set to transform a prominent four-acre brownfield site into a thriving build-to-rent (BTR) neighbourhood.

The agreement signals a strong collaboration between the public and private sectors, supporting the delivery of new homes while promoting regeneration, sustainability, and community-building.

Phase one of the Stone Yard project will see the delivery of 605 homes across four blocks, backed by debt financing from NatWest and Homes England via the Home Building Fund. A future phase will add another three blocks, bringing the total to 995 homes.

The WMCA has contributed brownfield grant funding, enabling 20% of the homes to be offered as affordable housing at Discounted Market Rent. These homes will be spread across the site to support inclusive, community-led regeneration.

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Homes England's investment includes around £40 million in debt funding, building on its Strategic Place Partnership (SPP) with the WMCA. This initiative aims to drive locally-led housing growth in key areas such as Digbeth, which anchors the East Birmingham and North Solihull corridor.

The development is designed with a strong focus on sustainability, aiming for top-tier accreditation from organisations such as Fitwel, Home Quality Mark, and BREEAM. In addition to high-specification apartments, residents will benefit from a suite of amenities, including co-working spaces, 24/7 gyms, lounges, studio spaces and private dining rooms.

Stone Yard will also feature landscaped public areas, commercial units, and improved connections to local attractions, contributing to Digbeth’s growing reputation as a vibrant and inclusive neighbourhood.

Moda will operate the buildings and public realm, delivering its signature approach to health, wellbeing, technology, and resident experience, ensuring a professionally managed and diverse community at the heart of the city.

Construction is being led by Caddick Construction, Moda’s sister company, with initial works now underway. Completion of the first phase is anticipated in 2028.

Located on Deritend Road, the Stone Yard site sits adjacent to the Custard Factory and directly opposite the new Eastside Metro extension and the upcoming HS2 Curzon Street Station, placing future residents at the heart of Birmingham’s cultural and transport networks.