It is well publicised that housing supply shortages are commonplace across London Boroughs.
Following years of right-to-buy and rampant overseas investment, local authority supply has suffered resulting in widespread homelessness, leaving vulnerable families seeking long-term and stable housing.
As supply becomes ever shorter, and inflation bites down, we would suggest that now the time for better public and private sector collaboration to tackle the looming crisis.
Local authorities are understandably guarded against private partnerships and investment, but desperately need highly ethical and sustainable outlets of supply.
For institutional investors, the Affordable housing sector provides long-term and stabilised income, whilst adding social value and environmental impact through property improvement, employment, and upskilling opportunity.
So why hasn’t this shared need resulted in collaboration and partnerships on masse? We believe this can be attributed to cultural difference, fear, and misunderstanding. The perception that all investors are predisposition to squeeze every penny out of the deal, whilst all public sector departments are entirely risk adverse – neither of course being true. However, until this chasm can be filled, are we set to live in a state of paralysis – we don’t think so. We think the answer (at least in the short term) is to bring in a partner that understands and is able to navigate through the challenges and opportunities on both sides.
With active contracts with both public and privately funded institutions, Madison Brook has been working to do just that. Successfully purchasing over 2,500 properties in the last 5 years, the proof is in the pudding.
We would love to engage with liked minded organisations seeking impact in this vitally important sector.
Head of Living Markets