Schroders Launches Real Estate Impact Fund

Schroders, a global investment firm, has announced the creation of the UK Real Estate Impact Fund, which aims to produce social impact outcomes, such as tackling social inequality in poor areas of the United Kingdom.

Chris Santer, Schroders Capital Impact Fund Manager, said:

"Real estate is perfectly positioned to alleviate severe social inequities throughout the United Kingdom. We think that by focusing on underserved locations and understanding local communities' requirements, we can provide place-based real estate solutions that drive social change and provide investors with long-term financial benefit."

According to Schroders, the fund will primarily invest in bringing forward affordable housing, workspaces, and mixed-use town center re-purposing projects, mainly in areas of the United Kingdom designated as "deficient."

Schroders stated that the fund's goals include addressing social deprivation and inequality as well as delivering a financial return and that it will "seek to address social challenges faced by a variety of beneficiaries, including low-income families, community groups, social enterprises, and SMEs."

In addition, each of the fund's assets will have environmental goals that line with Schroders' strategy for attaining net zero carbon throughout its global real estate asset portfolio by 2050.

Schroders Capital's Global Head of Real Estate, Sophie van Oosterom, stated:

"The Covid epidemic revealed and aggravated the growing social inequality gap. Schroders Capital's UK Real Estate Impact Fund provides institutional investors with the chance to alleviate regional inequality by investing in real estate assets in the United Kingdom's disadvantaged communities. The fund will invest for positive, quantifiable social impact and excellent long-term financial returns."