Japanese housebuilder Daiwa takes 30% stake in Miller Homes
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Daiwa House has agreed to acquire an approximately 30% stake in Miller Homes as the UK housebuilder works to increase annual output from about 5,000 homes to 7,000.
The Japanese construction and real estate group will buy the minority stake from funds managed by Apollo, which will remain the controlling shareholder. The transaction is subject to regulatory approval and other closing conditions and is expected to complete later in 2026. The companies have not disclosed the value of the deal.
For Daiwa House, the agreement marks its first move into the UK single-family housing market. For Miller Homes, it adds another large international investor as the company pursues a planned 40% rise in annual housing output.
Miller Homes said the transaction will not change its management team, strategy, capital structure or day-to-day operations. Its Miller Homes and St. Modwen Homes brands will also remain in place.
The investment therefore has significance beyond a change in ownership. Daiwa House brings international housing, construction and real estate experience at a time when Miller Homes is trying to increase production across England, Scotland and Wales.
Miller Homes has been building the platform for higher output
The new shareholder arrives after several years of expansion under Apollo, which acquired Miller Homes in 2022.
Miller Homes now completes about 5,000 properties a year through 11 regional offices. Its medium-term goal is to reach 7,000 homes annually. Apollo said the Daiwa investment will provide additional resources and expertise as the builder expands its multi-tenure model.
The company’s recent financial figures show the scale of that growth.
Miller Homes sold 4,931 homes during 2025, up 29% from the previous year. Revenue reached £1.425 billion, while adjusted operating profit rose 40% to £219 million. Its forward sales position stood at £635 million.
Land is another part of the growth plan. Miller Homes reported a consented landbank of 16,329 plots for 2025, up 19%, alongside a strategic landbank of 50,655 plots.
That pipeline matters because higher annual output needs a steady flow of development sites. Access to finance cannot support a move from 5,000 to 7,000 homes if enough sites are not progressing through planning and into construction.
Miller Homes has also expanded its geographic reach through acquisitions. Its purchase and integration of St. Modwen Homes has been one of the main steps in that expansion. The company plans to continue operating both brands.
Together, the figures show that the 7,000-home target forms part of a wider growth plan based on land, regional capacity and a broader mix of housing tenures.
Daiwa House adds international construction experience
Daiwa House’s role is notable because this is its first entry into the UK single-family housing business.
The Osaka-based company has agreed to acquire approximately 30% of Castle-Builder Topco Limited, the holding company for Miller Homes, through Daiwa House UK Member Limited.
Miller Homes and Apollo have both pointed to Daiwa House’s global construction and real estate experience as part of the reason for the investment. Apollo said the partnership would support Miller Homes’ expansion and its move toward 7,000 homes a year.
That experience matters for housebuilders trying to grow in a market where funding is only one part of the challenge. Building thousands of additional homes requires land, planning approvals, regional operating capacity, supply chain support and the ability to manage development across different tenures.
Daiwa House may be able to support some of those areas as Miller Homes expands. However, neither company has announced specific changes to Miller Homes’ construction methods or detailed plans to introduce Daiwa House building systems into its UK operations.
For now, the effect is strategic rather than operational. Miller Homes retains its existing management and brands while gaining another shareholder with extensive housing and property experience.
Reaching 7,000 homes will depend on more than investment
The transaction comes as the UK government continues to push for a significant increase in housing supply.
In England, the government has set an ambition to build 1.5 million homes during this Parliament. Its National Housing Delivery Fund will provide £5 billion in capital grant funding between 2026 and 2030 for land and infrastructure intended to support additional housing.
Planning capacity remains an important part of that effort. In June, the government announced trials of new technology intended to reduce decision times for routine planning applications. Earlier measures also included funding for local authorities dealing with major residential developments where post-permission approvals can delay construction.
These policies add context to Miller Homes’ expansion plan.
A builder can have strong financial backing and a large land pipeline but still depend on development sites moving through the planning system at a pace that supports construction. Demand, labor availability, infrastructure and build costs can also affect how quickly planned capacity becomes completed homes.
Miller Homes enters this period with a larger business, a consented landbank of more than 16,000 plots and two international investors behind its strategy.
Daiwa House’s arrival gives the company further financial and operating support. The main test will be how effectively Miller Homes converts those resources and its land pipeline into completed homes.
The planned rise from about 5,000 to 7,000 homes a year provides a clear measure of that progress. It will also show how far international capital and construction experience can support expansion in a UK housing market that still faces planning, infrastructure and delivery constraints.
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