The Man Group have launched a Community Housing Fund, investing £400 million into creating affordable homes, attracting a £20 million investment from Homes England, ‘with a strong focus on creating sustainable communities’.
The Group has invested £10 million of its own capital into the fund, with 12 investments in the pipeline ‘across a broad geographical spread, in some of the least affordable parts of the country’. This totals more than 2,000 homes, which is line with the group’s private market investment arm, Man Global Private Markets target to reach 3,500 homes by 2026, committing to delivering 263 homes in England at present.
Other investors into the fund so far include Big Society Capital and the Schroder BSC Social Impact Trust, as well as Swansea and Strathclyde Local Government Pension Schemes.
The first activity under Man GPM’s fund is a £31 million deal with modular builder, Ilke Homes for a 14.6-acre site in Grantham with planning consent for creating 227 new homes. Alongside this, they have secured a £12 million investment for 41 homes in Lewes and in March, they acquired 95 homes from Crest Nicholson’s site Alconbury Weald.
Shamez Alibhai, Head of Community Housing at Man GPM leads the fund and aims to address ‘the shortage of new, high quality housing in the UK which is affordable to those earning the median income and below’.
Shamez Alibhai said: “This is an exciting milestone for our Community Housing strategy. With a shortage of quality affordable housing in the UK, we can help address this serious issue in a socially and environmentally sustainable way.
“Increasing the amount of socially responsible capital in the affordable housing space is good for communities and the people who live and work locally, but also for investors who are committed to achieving demonstrable returns and creating positive social and environmental change.”