Millions of pounds is set to be spent in Gloucestershire in a bid to help hundreds of people out of temporary accommodation. Social impact property fund Resonance has announced that Gloucestershire Pension Fund (GPF) has invested £30m into its National Homelessness Property Fund 2.
A total of £20m will be used to immediately buy and refurbish around 90 properties in the county, helping the region cut the number of households in unsuitable temporary accommodation.
Known as homelessness property funds, the model operates by attracting capital from institutional investors, such as pension funds, to acquire properties, refurbish them to a high standard, improve their energy efficiency and lease them to housing partners including homelessness charities and housing associations.
Tenants are provided with stable, affordable accommodation in safe areas in the heart of local communities. They will also receive support with their health, wellbeing and in seeking employment and training opportunities. This support will be provided by Developing Health and Independence (DHI), which will lease the properties from the fund.
Chris Cullen, head of Homelessness Property Funds at Resonance, said: “We are very grateful for Gloucestershire Pension Fund’s place-based investment into National Homelessness Property Fund 2, which illustrates the difference that local government pension funds can make to the area in which their members live.
“It will enable us to provide much needed homes in Gloucestershire for some of those households that are in temporary accommodation and that don’t have a place to call home.”
Rosie Phillips, chief executive at DHI, added: “Without a secure place to live, progress in other aspects of life will be poor. A safe place to call home provides people with a platform on which to build their lives.”
“It is great to be able to work in partnership with Resonance on this initiative, which aligns with our approach of helping people to achieve their potential from the foundations up, while improving health and wellbeing and reducing inequalities and disadvantage in communities.”
National Homelessness Property Fund 2 operates across England and has raised around £129m, and purchased more than 350 homes, housing almost 500 tenants who were facing a housing crisis. Institutional investors into the fund include other pension funds, such as Greater Manchester Pension Fund and several local authorities.
Like this story? Why not sign up to get all the latest business news straight to your inbox