Image: Istock
Forging a partnership…
…between Leazes Homes and Karbon Homes
GROWTH, REGENERATION & DEVELOPMENT
David Williams
Partner, Campbell Tickell
Glenn Allum
Director, Campbell Tickell
Ben Williams
Project Consultant, Campbell Tickell
Issue 76 | February 2025
Campbell Tickell Merger Support
Since 2012, there has been 71 housing association mergers (as of Feb 2024). The trend towards merger and partnerships has grown over recent years. We do not see this slowing down and we are continuing to work with a range of clients to help realise their merger and partnership ambitions.
As a sector leader in this space, Campbell Tickell has played a key role in the formation of new organisations within the housing sector over the last 15 years. In the last four years alone, we have supported Boards and Executive Teams to build and execute merger strategies that have underpinned the creation of 30 new organisations. We have worked on a diverse range of mergers of differing scales, type and complexity.
In this CT Brief, we outline a snapshot of how we helped one client, Leazes Homes.
In the last four years alone, Campbell Tickell has played a key role in the formation of more than
new organisations within the housing sector.
The Brief
Leazes Homes commissioned Campbell Tickell to help select a future partner. This followed Newcastle City Council’s decision to bring its arms-length management organisation (ALMO), Your Homes Newcastle (YHN), back in-house.
Leazes Homes was originally part of YHN, and the council’s decision meant the arrangement could no longer continue.
Our Approach
Aligning with Leazes Homes’ views and ambitions, Campbell Tickell supported the organisation with a robust selection process to choose a future partner.
The selection process saw an in-depth review of potential partners leading to some soft market testing to establish interest. Bidders were then taken through a thorough two stage assessment in which they were asked to articulate why joining their organisation would benefit Leazes and its residents. Karbon Homes was ultimately selected.
Post selection, Campbell Tickell then worked with both parties to create the partnership, allowing Leazes Homes to become a subsidiary of Karbon Homes.
Critically, through the effective partnership working of all involved, the project was successfully completed in a much shorter timeframe, to align with the closure of the ALMO.
Results
Through the new partnership, Karbon Homes will provide management services for Leazes’ 759 homes.
Commenting on the partnership, Dawn Keightley, Chair at Leazes Homes said:
"Joining the Karbon Group is a positive move for Leazes Homes. The Board are assured there will be an ongoing focus on delivering exceptional services for customers more efficiently.
The Board is also confident that continued investment will be made to ensure that the Leazes’ portfolio is maintained in excellent condition. Recognising that we need to work efficiently and deliver maximum value for money will, in turn, create resilience and the capacity to do more for our customers.
Lastly, it will enable Leazes Homes to realise its ambition of delivering more homes for future customers and we are confident that the move is good news for Leazes’ tenants."
Christine Paxton, Assistant Director Business Development, Communications and Change at Karbon Homes said:
"The support that Campbell Tickell provided was invaluable. It was a complex project with multiple stakeholders and tight deadlines.
Campbell Tickell’s Glenn Allum, David Williams and Ben Williams guided us through the complexity in a calm, confident and assured way. It felt like they were an extension of our team – always available, flexible and responsive!"
Partnership and Mergers 2023-2024
As well as Leazes and Karbon, in the last year, among others, we have also supported:
- Places for People (PfP) and Origin with a partner selection process, identifying PfP. We then projected managed the merger.
- Places for People and South Devon Rural Housing Association (SDRHA): Supported SDRHA with a partners selection process, which identified PfP, and project managed the merger.
- Guinness Partnership and Shepherds Bush Housing Group (SBHG): Supported SBHG to identify a partner and project managed the merger. CT also offered due diligence project management support to Shepherds Bush. Read about the merger.
Our support
Campbell Tickell can assist your organisation with every step of the merger process, from management to facilitation, and preparation to integration. Our skills, experience and insight mean we can make a real difference for clients in the delivery of these projects. Contact one of our team to find out more.
To discuss this article, click here to email David Williams, Glenn Allum or Ben Williams
