“Together we can accelerate delivery” says CEO as Patrizia commits to £1bn UK housing investment

A  £1bn investment into affordable homes in the UK has been promised by German real estate investor Patrizia.

The UK Essential Living Fund is set to deliver 4,000 new homes by working directly with mayors and local partners to drive development and growth regionally.

The announcement aligns with Prime Minister Andy Burnham’s recent reforms to give regional mayors greater powers over planning decisions and the right to retain a proportion of tax revenue to re-invest into local places.

Asoka Wöhrmann, CEO of Patrizia, said: “By working with metro mayors and local partners, we can help channel long-term institutional capital into the places where housing is needed most.”

Patrizia operates 26 offices globally and manages £56bn real assets, £4bn of which has already been invested in the UK.

The first joint venture, Walworth Corners in Elephant and Castle, see Patrizia commit £100m to bring new homes and student accommodation to the brownfield site with partner Fabrix. The investment was made as part of Patrizia’s €500m Sustainable Communities strategy to tackle housing shortages and affordability crises. 

The Mayor of London, Sadiq Khan, said: “Patrizia’s plans to boost its presence in London is a further sign of confidence in our great city. Their investment in Elephant and Castle is already delivering much-needed new homes, and I am delighted that they want to add to increase their presence here in the capital. By working with international investors, government and regional leaders we are boosting the delivery of new homes, many of which will be affordable, as I continue to build a better London for everyone.”

Patrizia has also invested in housing projects in Cardiff, Birmingham, Reading and Southampton.