National Homelessness Property 2 fund (NHPF2) was launched in December 2020 following the successful model of the National Homelessness Property Fund which launched December 2015, closed for investment in December 2018, and purchasing 229 properties housing over 580 people.

The fund works by acquiring properties and leasing them to the social housing sector and homelessness charities to provide individuals and families at risk of homelessness with a settled home.

By partnering with housing providers, the fund enables homeless and potentially homeless individuals and families to not only be provided with housing but will also signpost households to the support they need to be able to sustain their tenancy and improve their circumstances. The fund also aims to partner with housing or charity partners who will support individuals and families directly, to find employment or education, set down roots in the community and to save for a deposit, so that they can eventually move into the private rented sector with a track record of maintaining a tenancy.

The fund launched in partnership with Let Us, an Ethical Lettings Agency run by a group of housing providers with a long-established reputation for successfully managing tens of thousands of homes across Greater Manchester. They work with landlords to help them tackle the housing crisis in the region by offering the right homes to the right tenants, making more homes in the private rented sector available to tenants who really need them, while minimising risks to landlords through their proven and robust management approach.

The fundinitially focused on purchasing affordable homes in the Greater Manchester region and is now expanding in other areas of the UK, including Merseyside, Bristol and Cornwall.

The fund seeks to offer investors a commercial risk-adjusted return on their investment, including both rental yield and capital appreciation on properties. Risk is reduced as investors benefit from a widely diversified portfolio leased on fully repairing and ensuring ten-year leases effectively enabling our housing partners or service providers to underwrite the operational maintenance, management and void risks. Please remember if you invest in this fund, your capital may be at risk. 

The fund's first close of £20m was in December 2020 and aims to grow to £100m+ over its lifetime, and provide around 870 affordable homes across the UK.