Greater Manchester Pension Fund has increased its investment into the National Homelessness Property Fund 2 by adding a second tranche of £10m.
The initial investment of £10m was made at the fund’s launch in December 2020. The addition of further £10m is expected to help the fund to purchase more homes in Greater Manchester for people facing a housing crisis.
The total raised so far by the fund is £65m.
Ged Cooney, chair of Greater Manchester Pension Fund, said: “Aiming to deliver a competitive risk-adjusted return to ensure we meet future pension obligations, as well as delivering measurable and positive social change in the Greater Manchester area, NHPF2 is providing a sustainable and place-based solution for economic growth in the region and beyond.”
The fund buys properties, refurbishes them to the required standard by ensuring they are safe and energy efficient, then leases them to the housing sector and homelessness charities.
Having initially prioritised buying properties within Greater Manchester, the fund is now expanding into Bristol, Oxford and Liverpool.
The fund also aims to grow to £300m with support from institutional impact investors such as pension funds and local authorities. This will enable it to acquire around 1,500 homes and house around 7,500 people over its 15-year lifetime.
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