M&G will invest £500 million in the Shared Ownership sector to create more than 2000 new, sustainably designed and affordable homes.
The sum will be invested over the next 18-24 months via the M&G Shared Ownership Fund, which has agreed a long term, strategic partnership with Hyde Housing to create 2000 homes in London and Kent - in turn enabling Hyde to recycle capital into other affordable housing initiatives. Investors in the fund will gain index-linked rental income and house price exposure.
The fund will operate through a For-Profit Registered Provider regulated by the Regulator of Social Housing, drawing on its wealth of expertise in the Private Rented Sector to invest in the construction of high-quality homes with design features specifically aimed to reduce maintenance costs for occupiers.
Jonathan Daniels, Chief Investment Officer, M&G plc, commented: “This is a great example of how M&G is channelling institutional capital – on behalf of pension savers everywhere – into sustainable investments which will make a positive difference to the lives of thousands of more people who need good quality, affordable homes.”