Legal & General has launched the L&G Affordable Housing Fund, alongside a £125 million ($162 million) commitment from Local Government Pension Scheme (LGPS) ACCESS — a collaboration of Central, Eastern and Southern Shires, composed of 11 LGPS Administering Authorities with assets totaling £40 billion ($52 billion). The vehicle is aiming to deliver a diversified inflation-linked cash flow for investors.
The level of new affordable homes being built (fewer than 55,000 over the last decade) falls short of the National Housing Federation’s recommendations of 145,000 a year until 2031. As 1.2 million households sit on local authority waiting lists in England, the fund will invest in well-designed, purpose-built affordable-rent and shared-ownership housing in areas of acute need and demand across England.
The fund will aim to positively affect hundreds of people's lives, focusing on “Equity and affordability” as