Download the latest Real Lettings Social Impact Report 2014/15.
Broadway, the homelessness charity, is launching the first property fund to buy accommodation to support homeless people.
The new fund will support the charity’s Real order bupropion online Lettings operation which offers affordable accommodation in the private rented sector for former homeless people who do not qualify for social housing, but are ready and able to maintain a tenancy. Broadway’s Real Lettings initiative already leases 220 flats and the fund will allow it to expand by purchasing around 250 one and two bed flats, mainly in outer London boroughs.
RealLettings The fund is being launched at Mansion House on 29 February where the keynote speech will be by the Secretary of State for Work and Pensions, Iain Duncan Smith. It is expected that he will use the opportunity to reinforce the importance of social investment.
The fund, which was developed with suppot from Resonance, will bulk buy units from developers and landlords, then lease them to Real Lettings who will guarantee rent and take on management and maintenance risk, helped by specialist residential developer United House.
The aim is now to raise £15m this summer from a growing pool of impact investors, mostly housing associations and charitable foundations, and a further £30m in 2013 , with potential to increase the fund to more than £100m by 2014 to enable larger institutions to invest.
Early discussions are underway with a number of investors who have supported homelessness initiatives in the past using income from their investments. These trusts are considering, under new Charity Commission guidelines, using their endowments to achieve a commercially risk adjusted return whilst also delivering a clear social impact.
Howard Sinclair, Chief Executive, Broadway, said: “The fund offers a sustainable path to providing homes for formerly homeless people. It will enable Real Lettings to expand and provide a yield for investors. All in all a smart solution.”
Sign up today and keep up to date with all our latest social impact news, innovations and insights so you never miss a thing.
Resonance Limited is a company registered in England and Wales no. 04418625
Resonance Impact Investment Limited, a subsidiary of Resonance Limited, is authorized and regulated by the Financial Conduct Authority (FCA). Firm number 588462.
Disclaimer: This website does not contain, constitute, nor does it form part of, an offer to sell or purchase or a solicitation of an offer to sell or purchase, any securities, investments or financial instruments referred to herein or to enter into any other transaction described herein. Resonance is not providing, and will not provide, any investment advice or recommendation (personal or otherwise) to you in relation to any securities, investments or financial instruments or transactions described herein. Whilst all reasonable care has been taken to ensure the accuracy of the information contained in this website, neither Resonance nor its officers accept any liability for its contents or for any errors or omissions.