Coliv, an independent fund managed by DTZ Investors and focused on the London co-living sector, has secured new equity commitments from Liverpool-based local authority pension fund Merseyside, reaching a dry powder of £170 mln (€188 mln).
Merseyside Pension Fund joins other investors in the fund, including the UK’s largest public pension fund, Strathclyde Pension Fund, which seeded the vehicle in October 2019.
DTZ Investors said in a statement that the commitment ‘further underlines the appeal to institutional investors of large-scale purpose-built co-living as an asset class’.
‘The team at Merseyside shares our view, and that of The Collective, that it is incumbent on real estate investors and managers to have a positive impact on society whilst striving to achieve a strong risk-adjusted return,’ said Kate Fearnley, head of investor relations for Coliv at DTZ Investors.
Coliv was launched in October last year with DTZI as the investment adviser and The Collective, a global co-living operator and developer, acting as asset and property manager.
The fund is seeking to provide investors with a core-plus return of 8-10% per annum and intends to build a portfolio of large-scale co-living assets in London over a four-year investment period.
