LGPS funds invest £118m in affordable housing strategy
Published: July 28, 2025
Three LGPS funds have collectively invested £118m into Octopus Capital’s Affordable Housing institutional strategy.
The backing – coming from Strathclyde, London CIV and Avon LGPS – will help to fund the team’s active pipeline and scale its impact-driven strategy.
In total, £50m came from Strathclyde, with two re-ups from London CIV worth £58m and Avon LGPS worth £10m. This brings the strategy’s total funds under management to more than £360m, with it aiming to invest £1bn in affordable housing by 2026.
Christopher Osborne, Head of Real Estate at London CIV, said: “London CIV is delighted to have committed a further £58m of capital into the Octopus Affordable Housing strategy, taking its total commitment to £108m.
“Under the stewardship of Jack Burnham, the team has been bolstered through the recruitment of experienced housing practitioners and investment professionals.”
This latest fundraising round coincides with a key milestone of owning 500 affordable homes, with the capital for this uptick being deployed by Octopus Capital’s for-profit registered provider of social housing NewArch Homes.
Jack Burnham, Head of Affordable Housing at Octopus Capital, said: “We’re delighted to have Strathclyde on board and to be continuing our relationship with Avon and London CIV. It’s great to see this level of interest in affordable housing from LGPS and also from the Government more broadly.
“The announcement of a £39bn commitment to the sector over the next decade in their recent spending review is a hugely positive move. It supports the scale-up of affordable housing delivery across the UK – and aligns closely with the priorities of the long-term institutional investors we work with.
“This commitment gives us the tools and certainty to go further and faster, in partnership with local authorities, housing associations and developers.”
