THIS FUND IS FOR INSTITUTIONAL INVESTORS
The Resonance Supported Homes Fund (RSH Fund) provides a solution to the housing shortages leaving hundreds of adults with learning disabilities, autism and mental illness in long-term hospital inpatient facilities and similar institutions.
The Fund provides a person-focused solution by investing directly into residential properties within local communities. Around half of the Fund's first close raised is being invested in property in Greater Manchester with the remainder identified for homes in other targeted regions before roll-out across the UK. Properties purchased include self-contained and multiple occupancy flats/houses/bungalows and blocks of flats with self-contained units, refurbished and adapted to a high standard to suit the needs of every individual, enabling them to lead independent lives.
Properties are leased to learning disability and mental health charity partners and specialist housing providers who rent them to individuals, helping them manage their tenancies and properties and also provide specialist support to help them live their lives with choice and independence.
The Fund has a target size of £100 million and aims to provide homes across the UK where need has been identified. It follows a traditional pattern with an objective of income generated from rents and capital from appreciation when the properties are sold (most likely to a follow-on social impact investment fund). It also builds on the successes of the social impact model implemented through our three Homelessness Property Funds and our gender-lens property fund, the Women in Safe Homes fund.
Many people with a learning disability in the UK continue to live in inappropriate housing; they remain on waiting lists for long periods of time; are being housed in local authority areas miles away from their families and support networks; are becoming ‘institutionalised’, facing multiple barriers to discharge and are unable to live independently. In fact, sadly over 2,000* people are still living in institutions today.
As a result, there is a ‘priority need’ for appropriate homes and support for people with learning disabilities so that they can enjoy independent living within their local community.
Prior to the Fund's launch in summer 2020, Resonance worked with learning disability, mental health charities and specialist housing associations over a two-year period to design a sector-wide solution for broader housing need, developing and creating the RSH Fund.
Key to this impact-led fund is how it differs from current leasing models. It works with impact-driven housing associations and learning disability charity partners to focus on the specific housing needs of the tenants being housed. Importantly it reduces levels of risk for the Fund’s partners, for example by providing leases with reasonable rent levels, appropriate break clauses and fair rental uplift not normally associated with these models.
The potential of learning disability, mental health charities and impact-driven housing associations to reliably scale up the provision of good care and housing in the community for this group is huge, providing positive outcomes for tenants whose needs, too often, are not met by current property investment structures.
Summer 2020 saw the Fund's first close at £10 million and is currently taking expressions of interest from qualifying investors.