MIPIM 2026: why partnership is key to moving from planning to delivery

Viability remains the binding constraint

Discussions throughout the week reinforced the view that housing delivery will not be unlocked through a single mechanism. Grant funding remains essential, but it is not sufficient on its own.

Equally, private capital is available, but only where schemes are viable, investable and capable of navigating the planning system with a reasonable degree of certainty.

For long‑term investors like PIC, viability is not simply about initial delivery. Returns need to be sustainable over decades to support our pension liabilities, with predictable, inflation‑linked income and robust downside protection.

Many schemes discussed at MIPIM still struggle to meet those requirements once build cost inflation, planning delays and financing assumptions are fully reflected.

Planning timelines continue to exacerbate this challenge. Developers repeatedly highlighted that major schemes can spend years in planning, during which time costs escalate and funding assumptions become outdated.

Build costs remain materially above pre‑pandemic levels, and geopolitical uncertainty risks further pressure. While financing conditions are improving, they remain misaligned with schemes that were originally designed in a very different interest rate environment.

Public policy is moving, but investable opportunities lag

There were clear signs at MIPIM that the public sector is taking steps to address the viability gap. The scale of the government’s commitment through the new Social and Affordable Homes Programme, the expanded role of Homes England and the increasing influence of metro mayors were all prominent themes in conversations with local authorities and delivery partners.

However, the constraint is no longer a lack of policy ambition or capital allocation. The issue is the limited supply of investable opportunities that combine planning certainty, deliverable phasing and funding structures that work in practice.

This was a consistent refrain across meetings in Cannes: capital is not the problem, deployable projects are.

Partnership models as a route to delivery

Against this backdrop, structured public‑private partnerships are emerging as one of the most credible routes to unlocking delivery. For PIC, this is reflected in Habiko, the joint venture with Muse and Homes England launched in November 2024.

Habiko was frequently referenced in MIPIM discussions as an example of how long‑term capital, public backing and development expertise can be brought together in a repeatable way.

Habiko’s ambition is to deliver 3,000 low‑carbon, low‑energy affordable homes for rent over the next decade, with rents set at least 20 per cent below market levels. Importantly, the model is designed to address the issues most commonly raised at MIPIM: planning risk, viability and long‑term funding certainty.

Homes England provides public backing and access to funding tools. Muse brings development capability and experience of working with local authorities.

PIC provides long‑term institutional capital, with the ability to commit over extended time horizons. In combination, this creates a more stable platform for delivery than any party acting alone.

The venture is already moving from concept into execution, with around 820 homes in the pipeline across sites in Chester, Warrington and Solihull. That progress matters.

At MIPIM, there was clear scepticism around new structures that remain theoretical. What resonated more strongly were models that are already translating into homes on the ground.

From alignment to execution

MIPIM 2026 demonstrated that there is no shortage of capital focused on housing, and no shortage of public sector appetite to deliver.

For long‑term investors, the fundamentals remain compelling and demand remains structural. What will determine success is whether partnership models can consistently produce schemes that clear the hurdles of planning, viability and delivery.

The mood in Cannes suggested a growing willingness to work through these issues collaboratively, rather than pushing risk back and forth between sectors. The next test is execution: whether schemes move out of pipelines and into construction at pace.

That, rather than new announcements or new frameworks, will be the real measure of progress over the year ahead.

Jessica Adams, senior investment manager, Pension Insurance Corporation