Bridges Fund Management has announced the final close of its fourth Property Alternatives Fund with £220m in commitments – the company’s largest investment vehicle to date.
The fund invests in property or property-backed businesses that tackle social and environmental challenges, including healthcare, education, SME business space and affordable residential accommodation.
It hopes to add value to these ventures or assets through environmental refurbishment and operational improvement.
Fund IV has agreed four transactions so far, including an assisted living venture called Birchgrove, which provides elderly rental accommodation with hospitality and care at a number of purpose-built sites across the south of England.
It has also invested in a light industrial and office development in Cannock, bringing a disused colliery site back into economic use.
Investors in the fund include local authority pension funds, the Environment Agency Pension Fund and US-based Church Pension Fund, which Bridges said reflects the growing institutional interest in sustainable property investment.
Simon Ringer, partner and head of property funds at Bridges Fund Management, said: “We are very grateful for the support of our investors in enabling us to reach a final close on our fourth property fund.
“Our past three funds have demonstrated very clearly that by investing in needs-driven sectors where we can promote greater inclusivity and sustainability, we can not only deliver powerful societal impact but also strong financial returns for our investors.”
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