Social business group Homes for Good gains £3m in new investment



A ground-breaking social business group which provides social housing has secured £3m of investment.

Homes for Good (HFG) has won the backing from Big Issue Invest, in a move that allows early stage investor Impact Ventures UK to successfully exit three years early.

HFG aims to provide affordable, quality housing to people with limited housing choice in and around Glasgow and has ambitious plans to double its portfolio and expand its model to other parts of the UK.

Since it was founded in 2013, HFG has pioneered the social lettings agency model within the private rented sector and has built a strong reputation in the wider social and property investment sectors.

It has attracted significant backing in excess of £12m to date from Impact Ventures UK, Big Society Capital, Charity Bank and Social and Sustainable Capital.

Big Issue Invest, the social investment arm of The Big Issue, made the most recent equity and debt investment of just more than £3m from its Social Enterprise Investment Fund II (SEIF II) in Homes for Good.

This is Big Issue Invest’s largest investment from its SEIF II fund to date, with the deal being finalised in what has been a tumultuous and disruptive time for everyone during the pandemic.

HFG bridges the gap in affordable housing between the social and private rented sectors, providing letting agency services to landlords and a unique and flexible tenancy support for the people who live in its 500 homes.

Its investment arm finds and buys dilapidated properties, almost 250 since 2014, which they bring to life through refurbishment and interior design.

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HFG then lets these homes to people in housing need, or to partner organisations working with people with more intensive support and emergency housing requirements.

Susan Aktemel, executive director of Homes for Good said: “This significant deal clearly shows that it is entirely possible to make strong financial returns from social investment whilst putting money to good use to change people’s lives for the better.”

She said the deal “has created a strong foundation for our future growth, and paves the way for further investment, as we embark on a £20m raise in the coming years to deliver our vision of creating high-quality, affordable homes for those who may otherwise struggle to access them.”

She said that Impact Ventures UK had been a superb partner that had supported them through their growth.

Big Issue Invest CEO Danyal Sattar said: “We are delighted to support such a brilliant social enterprise as Homes for Good, with values that align so closely with ours.

“It is especially important that organisations such as Homes for Good are able to continue their excellent work at a time of great uncertainty for those with housing needs.

“This is our largest investment out of our Big Issue Invest Social Enterprise Fund II and shows the kind of backing we can give to our partners.

“We like to support entrepreneurs and entrepreneurial organisations and that is what we find in Homes for Good.”



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