Alpha Real Capital’s £1.9bn UK commercial ground rents fund, the Index Linked Income Fund, has been assessed as providing £7.6bn of total social value by Loop.
Loop, a specialist social value company, found that every £1 invested into ILIF, which owns a portfolio of almost 600 UK ground rents, provided more than £4 of social value.
Boris Mikhailov, head of client solutions at Alpha Real Capital, said: “Commercial ground rents, including social infrastructure ground rents that make up nearly half of ILIF’s portfolio, is one of the fastest growing secure income strategies over the last few years. For real estate owners or acquirers they can provide an efficient way to raise capital, and for investors they can help cash flow match their longest dated inflation-linked liabilities while generating attractive investment returns.
“Now with the help of Loop we can also independently measure, quantify and report ‘S’ in ESG benefits to our investors from ILIF’s social infrastructure assets which total over £800m.”
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