European social housing, from Patrizia 500 million

Patrizia - one of Europe's largest investors - has formalised the closing of the first fund dedicated to the creation of a pan-European portfolio of over EUR 500 million for the construction of social and affordable housing (so-called impact investing). The Patrizia Sustainable Communities fund secured the commitment of 10 institutional investors, with Danish pension funds AP Pension and PKA as lead players.

Launched in January 2022, Patrizia Sustainable Communities has the ambitious goal of providing affordable housing for more than 7,500 citizens, in some 25 European metropolitan areas, based on three cornerstones: affordable housing, green real estate, inclusion and connectivity. The fund has started the investment programme with four major projects, two in Dublin, Ireland, and two in the UK, in Milton Keynes and Bishop's Stortford, which together will provide around 1,000 social and affordable housing units.

In Ireland, the fund invested in two affordable social housing projects in suburban Dublin. The projects are capable of housing more than 1,600 low- and middle-income residents in modern flats equipped with solar panels. The investment also includes a new library, meeting places for residents, crèches and green areas.

In the UK, it has launched a programme to invest EUR 115 million in the development of new single-family affordable housing: 70 new homes with long-term, affordable rents in Milton Keynes, less than 80 km north of London. The second project involves the construction of 80 homes in Bishop's Stortford, less than 40 km north-east of London.

"A key pillar of Patrizia's sustainability strategy," said Mathieu Elshout, the company's Head of Sustainability and Impact Investing , "is to become a leader in impact investing by 2035.