Major asset management firm secures £125m from two local government pension funds

Residential Secure Income LP (ReSI) is managed by Gresham House and has invested in more than 1,400 homes across 18 acquisitions in England.

It was launched in May 2021 to invest in the delivery of shared ownership housing through its wholly owned registered provider of social housing, ReSI Homes.

Ben Fry, managing director of housing at Gresham House, said the backing from institutional investors is “testament to Gresham House’s extensive expertise and track record in affordable housing, and the growing recognition of the dual benefits that shared ownership investments can deliver”.

“We have a wealth of opportunities in the pipeline, so we will be putting this new capital to use over the coming months to deliver more new developments both across the UK and specifically in Gloucestershire and Devon,” Mr Fry said.

“The pension fund has recently implemented a new allocation to affordable housing and believes that shared ownership will provide both financial and positive impact benefits,” said Lynden Stowe, chair of the Gloucestershire Pension Fund.

“We have been impressed with Gresham House’s track record of delivery in the shared ownership space over recent years and believe this investment will provide a robust financial return alongside meaningful social benefits.”

James Morrish, chair of the Devon Investment and Pension Fund Committee, added that the investment would “deliver stable long-term returns for our members while supporting the provision of vital new housing in Devon, where affordability is often an acute challenge”.

Earlier this year, Gresham agreed a £30m loan with Japanese lender Mitsubishi UFJ Financial Group, its first sustainability-linked credit facility. The loan has commitments for reduced carbon emissions and energy-efficient homes as well supporting a target of delivering around 1,400 shared ownership properties.