A RETIREMENT developer has been taken over in a deal which could create one of the biggest companies in the industry.

Ringwood-based Renaissance Retirement was acquired by another retirement housebuilder, PegasusLife, doubling the combined portfolio of developments to more than 70.

The expanded PegasusLife Group is expected to reach a turnover of £500milion by 2021 and become one of the big players in the industry.

Renaissance was founded in 1997 and is one of the fastest-growing specialist retirement companies in the UK, growing annual sales from £6million to £32 over the last three years. Staff numbers rise from six to 55 in 12 months.

Renaissance currently has plans to build around 400 apartments across the south.

The two companies together have a joint gross development value of £1.9billion. Both will continue with their existing structures and head offices.

Christopher Goddard, chairman of Renaissance Retirement, who will join the new group board, said: “We are very excited by this opportunity. The new enlarged PegasusLife Group is well positioned to address the chronic shortage in quality later living homes throughout the UK.

“The continued supply and demand imbalance in this sector presents a huge growth opportunity for the group.”

He added: “Our whole operation continues to grow and is underpinned by our land acquisitions which now stretch from the west country to the northern home counties, while we have plans for a number of new regional offices in over the next three years.”

Renaissance plans to hire more staff to support its growth and has started a recruitment process across its sales, land, marketing, planning and design departments.

Howard Phillips, chief executive of PegasusLife, said: “The UK is still not building anywhere near the number of properties needed for our ageing population. Twenty-two million people – a third of the UK population – are now over 50. Consequently the demand will continue to grow.

“We set out on a mission in 2013 to transform the retirement property market with a high quality product and a transparent operating model. Adding Renaissance, a leading brand with similar values to the group, allows us to further enhance our product offer, geographical reach, as well as offer an even wider range of price points.”

The deal also sees PegasusLife take a minority stake in Basingstoke-based Hackwood Gorup, founded by Mr Goddard, which builds all of the Renaissance Retirement developments. It will now build for PegasusLife.