Patrizia plans to raise and deploy £1bn (€1.2bn) for UK essential housing by mobilising third-party institutional capital, following a meeting between CEO Asoka Wöhrmann and Prime Minister Andy Burnham at the British Embassy in Berlin.
The real assets manager intends to work alongside UK metro mayors and local combined authorities to connect municipal housing priorities with long-term capital, including potential investment from local government pension scheme funds.
The latest strategy builds on Patrizia’s existing investment UK footprint, which includes over £100m of investment capacity for alternative living and affordable housing through a London joint venture with local developer Fabrix. The manager has also backed residential projects across Cardiff, Birmingham, Reading, and Southampton.
Asoka Wöhrmann, CEO of Patrizia, said: “Our meeting with the prime minister reinforced a clear reality: the UK’s housing challenge is also a significant investment opportunity. Patrizia is already investing in homes across the country, and we see considerable potential to do more.
“By working with metro mayors and local partners, we can help channel long-term institutional capital into the places where housing is needed most. Neither public nor private capital can solve this challenge alone, but together we can accelerate delivery and create lasting value for communities across the UK.”
The Mayor of London, Sadiq Khan, said: “Patrizia’s plans to boost its presence in London is a further sign of confidence in our great city. Their investment in Elephant and Castle is already delivering much-needed new homes, and I am delighted that they want to add to increase their presence here in the capital.
“By working with international investors, Government and regional leaders we are boosting the delivery of new homes, many of which will be affordable, as I continue to build a better London for everyone.”
Steve Rotheram, Mayor of the Liverpool City Region, said: “Liverpool City Region has huge ambitions when it comes to housing - and no shortage of opportunities to invest. We’ve got the sites, the plans and the appetite to build. What we need are partners prepared to take the long view and help us turn that potential into spades in the ground.
“That’s why PATRIZIA’s ambition to work directly with mayors and local government is so encouraging.”
Richard Parker, Mayor of the West Midlands, said: “Patrizia, through its existing investments in Edgbaston and Birmingham city centre, has shown a real commitment to our region and a welcome ambition to expand that collaborative model across the UK.
“When regional leaders, national government, and long-term private investors pull in the same direction, we create the certainty needed to unlock significant growth and deliver the secure, affordable homes local people need and deserve.”
Tracy Brabin, Mayor of West Yorkshire, said: “International investors are increasingly recognising the opportunities created when they work together with local leaders and this government.
“This will help to support the work underway to revitalise our cities and towns, while making a real difference to people’s lives as we continue to deliver more homes across West Yorkshire.”
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