Shared ownership fund makes first joint investment with £53m forward-funding agreement

The homes will be managed by ReSI LP’s wholly owned for-profit, ReSI Homes.

The 122 homes are scheduled for completion in winter 2026-27 and will be supported by a grant from the Greater London Authority.

The development is part of the broader regeneration project at Clapham Park led by a 50:50 JV between MTVH and Countryside Partnerships.

Since 2005, the project has seen the delivery of 1,500 homes, with an approved masterplan in place for more than 2,500 homes. Currently, the JV has over 840 homes under construction.

Under its former name (Gresham House Residential Secure Income LP) ReSI LP was first formed as a UK limited partnership in May 2021 to invest in the delivery of shared ownership housing through its wholly owned for-profit, ReSI Homes.

The fund raised £125m in June last year from two UK local authority pension schemes to help fund the development of more than 1,000 affordable homes.

To date since its inception it has deployed almost £200m, amassing a portfolio of 1,679 affordable homes across England. Of these, more than 1,100 are operational.

This latest deal is the fund’s largest London scheme to date, including under its previous format.

Ben Fry, fund manager at Gresham House Thriving Investments Residential Secure Income LP, said that this first transaction under Gresham House and Thriving Investments’ new partnership marks one of ReSI LP’s “most significant investments to date”.

“London is experiencing a severe shortage of affordable housing, and this investment aligns with both the UK government’s appeal for institutional collaboration in housing growth, aiming to accelerate the delivery of affordable, high-quality and energy-efficient homes, as well as the fund’s social impact commitment,” he said.

“Alongside the GLA’s grant support, which is critical in enabling us to achieve shared ownership status for the new residential units, the investment also continues our long-standing relationships with both Vistry and MTVH. Clapham Park represents a landmark development in our journey toward building a £1bn-plus shared ownership portfolio over the next five years.”

Heather Fleming, managing director, institutional business at Gresham House, said the deal reflects the increasing demand from investors for shared ownership investments. She said this is driven by the need for stable income and long-term capital growth opportunities in the UK housing market.

“The shared ownership sector will play a crucial role in ensuring a sustainable supply of affordable housing. With £120m of capital ready for deployment and active fundraising efforts under way, ReSI LP is committed to significantly expanding investment in this vital tenure,” Ms Fleming said.

She said that customer service and environmental considerations should be priorities for investors in affordable housing, and ReSI LP “remains dedicated” to upholding its Shared Ownership Customer and Environmental Charters.

These charters set out Gresham House’s commitments to shared owners in several areas, such as service charges, staircasing, lease extensions and build quality.

“We are focused on building a stronger shared ownership sector by advancing the implementation of these charters, which aim to ensure homeowners are treated fairly while fostering positive environmental outcomes,” Ms Fleming said.

Matthew Painter, development director at Thriving Investments, said the project reflects the fund manager’s commitment to delivering additionality through forward funding.

He said: “With our first transaction now complete, we are focused on the future and are eager to collaborate with developers who share our vision for delivering affordable shared ownership housing.

“We have the capital and the drive to pursue further partnerships that align with our mission of creating impactful residential communities.”

According to ReSI LP’s webpage, it has a size of £311m and is backed by several investors. These include Centrica Combined Common Investment Fund, Staffordshire Pension Fund, Wiltshire Pension Fund, Devon Pension Fund and Gloucestershire Pension Fund.

Update: at 6.59pm, 30.01.2025

This story was updated to clarify that the partnership announced in November 2024 did not create a new fund or take over an existing one but instead saw the fund Gresham House Residential Secure Income LP renamed to Gresham House Thriving Investments Residential Secure Income LP (ReSI LP).