The launch of Colmore Tang Living will also enable the group to enter into the off-site manufacturing market, building houses using modern methods of construction.
Its new division aims to source land in the Midlands to deliver up to 100 houses per site, and will be a one-stop shop for sourcing land, achieving planning and delivering properties.
Colmore Tang Living aims to be on its first site in the second quarter of this year and is already in advanced discussions with housing associations about sourcing appropriate plots for development.
Andy Robinson, CEO of Colmore Tang Group, said: “In the past five years since we launched CTC, we’ve delivered more than 2,000 homes for private sale and rent, so the move into social housing is the obvious next step for us.
“Social housing is an increasingly important area and the need to build hundreds of thousands of homes has never been more urgent.
“Our expertise in identifying suitable sites and bringing them through the planning process, as well as delivering maximum value and providing the skills to deliver and construct quality homes, means we are in the ideal position to work alongside social housing providers.”