PATRIZIA and Man GPM Unite in GBP 100 Million Affordable Housing Venture

PATRIZIA and Man GPM Unite in GBP 100 Million Affordable Housing Venture

In a significant move, PATRIZIA and Man GPM have joined forces to launch a new joint venture aimed at investing GBP 100 million into the development of environmentally and socially sustainable housing for the UK’s affordable sector. This strategic partnership combines PATRIZIA’s SFDR Article 9 impact strategy, PATRIZIA Sustainable Communities, with Man GPM’s established presence in the UK affordable housing sector.

The joint venture will focus on constructing new-build single-family rental homes in areas of England grappling with housing affordability issues. All homes will adhere to a minimum EPC A rating, aiming for Home Quality Mark 4*, and strive for a zero operational carbon footprint. The initiative seeks to combat the acute shortage of high-quality housing for mid-market renters, implementing ecological initiatives to enhance biodiversity and positively impact local communities.

Already underway, the GBP 100 million investment program will fund the development of 70 new-build homes in Milton Keynes, less than 50 miles north of London. The project aligns with the joint venture’s commitment to sustainability, including improvements to communal areas, open parkland, and investments in local community groups to address social exclusion and loneliness.

Marleen Bikker-Bekkers, PATRIZIA Sustainable Communities Fund Manager, expresses enthusiasm for the partnership, emphasizing the potential to deliver real social value and attractive risk-adjusted returns. The venture marks a significant step in PATRIZIA’s ambition to provide affordable and sustainable homes for thousands across European metropolitan areas.

Shamez Alibhai, Managing Director and Head of Community Housing at Man GPM, sees the venture as setting a benchmark for sustainable housing developments. With a shared goal of addressing the profound lack of homes conducive to community thriving, the collaboration aims to make a meaningful impact in the current economic climate.

The JV not only addresses the housing crisis but also tackles pressing societal challenges in the UK, including energy inefficiency, rising rental burdens, and chronic loneliness. As both companies pool their resources and expertise, the venture holds promise as a model for future environmentally and socially sustainable housing initiatives.

This initiative aligns with PATRIZIA’s long-standing commitment to making a positive impact, dating back to its foundation in 1984. Through this venture, the partners aim to address critical societal challenges while providing affordable and sustainable housing solutions, setting a new standard for impactful real estate investments.