The investment arm of the Big Issue street newspaper is putting £3m into a new form of lettings agency.
Homes for Good was founded in Glasgow in 2013 and now plans to expand its business model to other parts of the UK.
It says it has for the past seven years “pioneered the social lettings agency model within the private rented sector” and has won a total of £12m backing from charitable and social investment sectors.
“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” says a statement from Big Issue Invest.
HFG’s investment arm finds and purchases dilapidated properties – almost 250 to date – which it refurbishes and decorates.
The agency then lets these to people in housing need, or to partner organisations working with people with more intensive support and emergency housing requirements.
“I am really delighted to see BII, a perfect partner for us, become a shareholder and join the Homes for Good family. This 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” explains Susan Aktemel, executive director of Homes for Good’s Social Business Group.
This post has originally been featured in Letting Agent Today.