CBRE Investment Management has secured two new local government pension scheme (LGPS) investors for its UK Affordable Housing Fund (AHF).
Tyne and Wear Pension Fund and Scottish Borders Council Pension Fund have signed up to the fund, bringing the total number of LGPS subscribers to nine. The AHF now has 23 investors, with total equity commitments of more than £500m.
The fund invests in social and affordable rented housing and affordable-ownership properties ‘delivering measurable social outcomes’ and has a pipeline of circa £400m of schemes in development and completed, which are anticipated to provide more than 2,098 homes.
Andrew Davey, head of liability aware strategies UK and fund manager for AHF at CBRE IM, said: “AHF offers investors the opportunity to access an attractive risk adjusted return whilst achieving their impact goals. Independently audited performance against the funds impact objectives is critical and provides the bedrock of our investment process. Transparency and proven track record of performance against this framework for our investors has been key to the funds’ success thus far.”
