Funding Affordable Homes completes £23m acquisition of two developments

The social impact company Funding Affordable Homes (FAH) has purchased two developments on the Isle of Wight and in Rochdale, Greater Manchester, for a combined £23m.

The schemes, that offer a total of 139 affordable homes, were forward funded by FAH and completed this month, having been advised by Edmond de Rothschild Real Estate Investment Management (REIM).

The Ryde residential project on the Isle of Wight — carried out by Morgan Sindall Later Living — consists of a retirement community of 102 homes, comprising 75 extra-care apartments and 27 bungalows.

The extra-care homes are a mixture of 63 one-bedroom affordable rent properties and 12 two-bed shared ownership flats.

The bungalows are all two-bedroom shared ownership homes — residents can purchase between 25% and 75% of the equity.

The concept and design detail were developed in partnership with the Isle of Wight Council and Southern Housing Group.

Due to the partnership and strategic approach taken for the delivery of this scheme, FAH was able to attract funding from Homes England to aid deliverability.

The development at River Beal, Rochdale, offers 37 one-bedroom accessible homes, three of which are built to full wheelchair-accessible standards.

It has the potential to accommodate a range of people with learning disabilities, physical disabilities, as well as others with mental health conditions, and dementia.

The concept and design were developed in partnership with Rochdale Borough Council, Partners Foundation, and care provider Future Directions.  

Paul Munday, fund manager at FAH, said: “These developments facilitate the delivery of extra care and supported living housing for older people and vulnerable adults, providing significant social benefit by offering greater independence and dignity than institutional care.”

James Whidborne, head of residential fund management UK at Edmond de Rothschild (REIM), added: “Given the merits of the sector from both a social impact and returns perspective, our aspirations are to now grow FAH to in excess of £500m within two years.”

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