Finance
Britain's John Lewis Partnership quits build to rent business
Published by Global Banking & Finance Review®
Posted on February 25, 2026
2 min readLast updated: February 25, 2026
Quick Summary
John Lewis Partnership is exiting its build-to-rent venture, citing a fundamental shift in economics since its 2020 launch. The UK retailer will refocus on its core John Lewis and Waitrose brands.
LONDON, Feb 25 (Reuters) - British retailer the John Lewis Partnership said on Wednesday it is withdrawing from its Build-to-Rent property business, blaming a "fundamental shift" in the economic conditions that underpinned the venture when it launched in 2020.
The UK's largest employee-owned business, which runs John Lewis department stores and the upmarket Waitrose supermarket chain, said the move is part of a broader strategic decision to refocus on its core retail brands under executive chair Jason Tarry.
The partnership's venture into BTR formed part of former chair Sharon White's strategy to diversify. She had a now-abandoned target to generate 40% of the partnership's revenue from outside retail.
PROPERTY AMBITION WAS BASED ON DIFFERENT ENVIRONMENT
“Our rental property ambition was based on a very different financial environment: one with more stable investment returns, lower borrowing costs and more affordable costs to build homes," said a partnership spokesperson.
Despite not building a single home, the partnership was "proud" of what it achieved in BTR, the spokesperson said, noting the progression of three planning applications for about 1,000 homes and the managing of third-party BTR homes at four sites.
Tarry, a former Tesco executive, has focused on modernising
John Lewis and Waitrose stores, enhancing digital platforms and improving the supply chain.
The partnership is expected to publish full-year results next month.
(Reporting by James Davey; Editing by Toby Chopra)
Key Takeaways
- •John Lewis Partnership will withdraw from its build-to-rent venture launched in 2020.
- •The move reflects a strategic refocus on the core John Lewis and Waitrose retail brands.
- •Management cited a fundamental shift in the economics underpinning the BTR plan.
- •As the UK’s largest employee‑owned retailer, JLP is prioritising retail performance over property.
Frequently Asked Questions about Britain's John Lewis Partnership quits build to rent business
1What is the main topic?
John Lewis Partnership is withdrawing from its build-to-rent property business and refocusing on core retail operations at John Lewis and Waitrose.
2Why is John Lewis exiting build-to-rent?
The company cited a fundamental shift in the economic conditions that supported the venture when it launched in 2020, making the strategy less viable.
3What happens to existing housing projects?
The article does not detail project-level outcomes. The withdrawal signals a strategic shift, with attention moving back to strengthening retail brands.
