The South Yorkshire Pension Fund has appointed CBRE Capital Advisors to advise on its investment strategy, beginning with £80m allocated for the region.
CBRE’s investment advisory team will manage the fund alongside its existing role in managing the SCR Jessica Fund, which has seen £50.4m investment in the Sheffield City region since 2013.
The two funds will operate independently from each other, but will have scope to make joint investments.
CBRE said this would pave the way for investment in larger scale projects as well as into alternatives, namely residential and leisure.
Will Church, senior director of CBRE Capital Advisors, said that managing the fund allocation would “complement our ongoing work with the SCR Jessica Fund and enable us to develop a strategic investment plan that will maximise socio-economic growth in the wider region”.
Councillor Sue Ellis, chair of the South Yorkshire Pensions Authority, said: “This is an example of an area where we can achieve the commercial return we need to pay pensions at the same time as ensuring the delivery of schemes that will improve the long term prospects of the local economy.”
John Mothersole, chair of the Jessica investment board, said: “Not only does it demonstrate a ringing endorsement of the work undertaken by the SCR Jessica to date, it also creates more opportunity for investment in the wider South Yorkshire property market, including areas such as residential, where the Jessica has some limitations.
“Working with CBRE I am sure both funds will be able to stimulate further economic growth in our region.”
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