Sustainable property investment vehicle successfully reaches its first close target
Climate Change Capital has raised £50m for a private equity vehicle that will invest in Green property.
It is believed to be the only Green Property investment vehicle in the UK to have succeeded in meeting its first closing target.
Developer Stanhope, Dutch banking group SNS Reaal, Australian insurance group IAG and Dundee-based, listed investment company Alliance Trust are among the investors.
Climate Change Capital achieved its first closing target of £50m on 18 August but only announced its initial success last week. Meeting the target means Climate Change Capital can now begin to make investments.
It will invest in existing BREEAM ‘excellent’-rated buildings and seek to refurbish BREEAM ‘very good’ buildings to a higher environmental standard. It may also develop new buildings when the market recovers.
Joint managing director, Tim Mockett said it will not buy property until prices stop falling. ‘Our view is that the market hasn’t yet adjusted sufficiently to make it attractive,’ he said. ‘But we see that beginning to happen at the end of this year, or quarter one next year.’