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09/2026

Hearthstone Investments acquired by Sentinel Real Estate

UNITED KINGDOM Wealth & Asset Management REV 1m GBP - 100m GBP

Context

Acquisition of Hearthstone Investments by Sentinel Real Estate expands the U.S.-based manager’s newly launched UK living platform. Sentinel announced the deal on 30 September 2026, completing the purchase of the London‑based specialist that focuses on affordable private‑rental housing. Hearthstone, founded in 2009, raised its first residential fund in 2012 and has since built a portfolio of more than 1,800 homes across England, Scotland and Wales, representing assets under management of over £400 million for UK Local Government Pension Schemes and other institutional investors. The transaction follows Sentinel’s formal entry into the UK market in January 2026 and provides an immediate, sizable footprint in a sector where affordable rental supply remains constrained. By adding Hearthstone’s modern, well‑located dwellings (many situated near transport links, schools and green spaces) Sentinel gains a ready‑made pipeline of properties that align with its long‑term, capital‑intensive investment approach. Sentinel’s President and CEO Michael Streicker highlighted that the acquisition delivers a “highly complementary business” to the firm’s existing US and Australian operations, while Managing Director Ben Sanderson noted that the move accelerates growth that would otherwise require organic build‑up. Hearthstone’s management team, which has a proven record of raising and deploying capital at scale, will be integrated into Sentinel’s global platform, preserving the local expertise that has driven the fund’s success. Together, the combined entity is positioned to address the persistent undersupply of affordable rental housing for families and workers throughout the United Kingdom, leveraging Sentinel’s in‑house acquisition, asset‑management and property‑operations capabilities. The deal underscores Sentinel’s strategy of expanding into mature, institutionally‑backed markets through targeted acquisitions of experienced operators.

Hearthstone Investments, which reported an EBITDA margin of in 2026, is valued in this transaction at an EV/EBITDA multiple of , a level to compare with the average currently observed in the Financial Services sector (12.5x).

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Target

Founded in 2009, Hearthstone Investments is a UK-based investment manager specializing in affordable private rental housing. The firm raises and manages capital on behalf of UK Local Government Pension Schemes and other institutional investors, deploying funds into modern, well-located homes and flats that address the persistent undersupply of affordable rental units for families and workers. Its portfolio spans England, Scotland and Wales, with properties situated near transport links, local amenities, schools and green spaces. Hearthstone’s business model combines fund-raising, asset acquisition, and active property management to deliver long-term, income-generating housing aligned with institutional investment mandates.

Ent. Value

Equity Value

Multiples

EV / Revenue

EV / EBITDA

EV / EBIT

Historical Financials (GBP)

Year
Rev
EBITDA
EBIT
2026
2025

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REFERENCES

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Authors: This transaction was contributed by a verified mynth contributor and cross-checked against available transaction documents and official company communications.

Target: hearthstone investments

Acquirer: sentinel real estate