The Real Lettings Property Fund (RLPF), the UK’s largest impact investment fund targeting homelessness in London, has been shortlisted for the “Housing Initiatives” category of the Local Government Chronicle Awards 2015.

The trailblazing fund, which is managed by impact investment company Resonance in partnership with homelessness charity St Mungo’s Broadway, buys homes to let to homeless individuals and families in the Capital. The award submission was made by Croydon Council, which has invested in the fund as part of its range of initiatives to address homelessness in its borough. It was one of a record number of 663 entries received by the organizers this year.

The LGC Awards are most respected accolades in local government, showcasing creativity, intelligence and determination within the sector.

On its website, LGC editor Nick Golding says: “To be shortlisted for an LGC Award shows that a council’s work in this particular area really is among the best undertaken by local government across the UK. We have had a record number of organisations entering this year’s awards. The competition is stiffer than ever as councils use their innovation to strive to improve services at a time they must cut costs.”

Councillor Alison Butler, Croydon Council’s cabinet member for homes and regeneration: “Sadly, councils are often forced to use accommodation like B&Bs which is expensive, often unsuitable and never a long-term solution to homelessness. We are determined to change outcomes for families, which is why we’re involved in this groundbreaking scheme giving 93 Croydon families a decent home to live in. Being nominated for this award underlines the great job being done by our officers alongside St Mungo’s Broadway and Resonance.”

Susan Fallis, Director of Real Lettings, said being shortlisted for the LGC award was further proof the innovative fund was improving the lives of families from across London. She said: “The Real Lettings Property Fund means that rather than remaining in sometimes unsuitable temporary accommodation, we are seeing individuals and families being able to access quality private rented homes, thriving and leaving their own cycles of homelessness behind.”

The fund is designed to produce a commercial risk-adjusted return for investors that will be generated from rental income and any increase in property values. Other investors into the fund have included L&Q Foundation and Big Society Capital, together with a number of charitable foundations, which are investing from their endowments. The fund currently stands at £46.5m of investment and may increase further in a final round of investment targeted for February 2015.

Simon Chisholm, Investment Director of Resonance, added “The £20m invested by the London Borough of Croydon has been crucial to the fund’s success to date. Croydon has shown real leadership by using their balance sheet, rather than just relying on increasingly tight revenue budgets, to provide for some of their more vulnerable families. We’re hoping a number of other London Boroughs will follow suit. We also think this model can be replicated beyond the confines of Greater London to support even more individuals and families on their recovery from homelessness.”

The next stage of the judging process will be at the end of January, when representatives from the RLPF will present their case in a face-to-face interview with an expert panel. They will be expected to answer searching questions about their project and explain why they believe the award should go to the Fund.